The Future Cannot Wait: Zambia Calls for a New Pension Mindset

By Alain Kabinda,

For many workers, retirement feels like a distant destination—a stage of life that will only become important when the final working day arrives.

But pension experts, government officials and industry leaders are warning that waiting until retirement to think about financial security could leave many citizens facing difficult realities when their income stops.

This message took centre stage during the launch of the 8th Annual Pensions Awareness Week, held under the theme “Understand Your Pension, Secure Your Retirement.”

The campaign, organised by the Zambia Association of Pension Funds (ZAPF) with support from the Pensions and Insurance Authority (PIA), brought together government officials, regulators, pension fund managers, employers, students and other stakeholders to promote a culture of early planning and responsible financial decision-making.

The theme, speakers said, is not simply a statement for public awareness—it is a call for every Zambian to take personal responsibility for their future.

The Chairperson of the Zambia Association of Pension Funds Ms. Collina Halwampa said understanding pensions requires more than knowing that deductions are made from salaries. 

It requires workers to understand how contributions are managed, the benefits they are entitled to, the role of investments and the decisions that influence the quality of life they will experience after employment.

“Understanding your pension means knowing how it works, what you contribute, what benefits you receive and how your savings grow,” She said.

She further explained that securing retirement requires early planning, consistent saving and informed decisions throughout one's working life.

Ms Halwampa added, has become an important platform for supporting national efforts to improve financial literacy and encourage long-term savings.

This year's programme includes awareness campaigns, engagement with pupils and students, retirement preparation workshops, a Human Resources Symposium aimed at encouraging employers to establish occupational pension schemes, and digital campaigns focusing on pension rights and responsibilities.

And Registrar and Chief Executive Officer of the Pensions and Insurance Authority (PIA) Mrs. Namakau Ntini said retirement planning should not be viewed as a concern only for older people.

                                  (Mrs. Namakau Ntini)

She challenged young people, including learners, to begin developing financial discipline early.

While retirement age may appear far away to students, she said the habits formed when one receives their first income can determine financial wellbeing decades later.

She also questioned whether many people truly understand pensions or whether they simply know the word “pension.”

“We often think we understand something, but when we reflect deeply, do we understand it enough to make informed decisions?” she asked.

According to her, knowledge only becomes valuable when it influences action.

Mrs Ntini added that the Authority continues to receive complaints from retirees who only begin examining their pension records after leaving employment.

Some question benefit calculations, while others raise concerns about missing contributions or unpaid obligations.

She highlighted the need for workers to actively monitor their pension information throughout their careers.

“An informed consumer is an empowered consumer,” she said, emphasising the importance of financial education in helping citizens protect their retirement future.

Although Zambia's pension sector has recorded growth, officials acknowledged that a significant challenge remains—expanding coverage, especially among workers outside formal employment.

Many people in the informal economy, including farmers, traders and self-employed individuals, have irregular income patterns that make traditional monthly pension contributions difficult.

Mrs. Ntini noted that pension solutions must reflect these realities.

A farmer who earns income after harvesting, for example, may need a different savings arrangement from a salaried employee who receives a monthly income.

This has strengthened calls for innovative products such as micro-pensions, which are expected to make retirement savings more accessible to informal sector workers and other underserved groups.

The proposed pension reforms are also expected to promote greater flexibility, improve governance and strengthen protection for pension members.

Technology is expected to play a major role in this transformation through digital registration platforms, mobile contribution systems and improved data management.

The private occupational pension sector has shown encouraging growth, with pension assets increasing from K20.8 billion in 2024 to K26.9 billion in 2025, representing a 29 percent increase.

Membership in registered occupational pension schemes also increased from 165,000 to 175,000 during the same period.

The growth reflects increased confidence in pension schemes and the important role they play in mobilising long-term savings.

However, officials cautioned that these gains must be matched by broader inclusion to ensure more citizens, particularly those in the informal economy, benefit from retirement savings.

The Permanent Secretary in the Ministry of Labour and Social Security Mr. Zachariah Lubinga said retirement should never arrive as a financial shock.

Mr. Lubinga said, requires preparation, informed choices and consistent planning throughout a person's working life.

He warned that many workers only become interested in their pension arrangements after retirement, when it may be too late to correct issues that could have been addressed earlier.

“A pension is not simply a deduction from one's income,” he said. “It is a financial tool designed to provide security, independence and dignity during retirement.”

Mr.Lubinga added, remains committed to strengthening Zambia's pension framework through reforms aimed at improving administration, expanding coverage and protecting workers' retirement benefits.

He also highlighted Zambia's changing demographics as a reason why pension planning has become increasingly important.

With a growing population and increasing life expectancy, more citizens will spend longer periods in retirement and require reliable financial support.

Mr. Lubinga also reminded workers that retirement is unavoidable and should not be feared.

While many people associate retirement with the end of productivity, he described it as a transition into another phase of contribution to society.

“Retirement is not the end,” he said. “It is a redeployment—a chance to continue serving in different ways.”

As Zambia marks the 2026 Pensions Awareness Week, the message from stakeholders is clear: retirement security is built long before the last day at work.

The choices people make today—saving early, understanding their benefits, monitoring contributions and making informed financial decisions—will determine the quality of life they experience tomorrow.

For Zambia's pension future to become stronger, awareness must become action, and planning must begin long before retirement arrives.

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