Fidelity Bank Ghana urges pension reforms for informal sector

Fidelity Bank Ghana is urging policymakers to overhaul the country’s pension system so that informal workers—traders, artisans, farmers and drivers who comprise more than 80% of the labour force—can obtain retirement security. Atta Yeboah Gyan, the bank’s deputy managing director, described a “pension coverage paradox” in which fewer than one in 100 informal workers contribute to the mandatory Tier 1 scheme run by the Social Security and National Insurance Trust (SSNIT).

The bank notes that total pension assets across Ghana’s three tiers now total about GH¢ 114 billion, yet participation remains extremely low. Gyan proposed three interventions: a dedicated diaspora pension product, pilot flexible contribution models built on mobile‑money platforms, and integration of pension enrolment into the Ghana Card registration process. He cited Rwanda’s Ejo Heza scheme and Kenya’s mobile‑based pension products as regional examples.

If adopted, the reforms could tap Ghana’s $7.79 billion annual remittance inflows and provide a more inclusive retirement safety net for millions of workers currently outside the formal system.