ADB to provide $100m loan to strengthen Universal Pension Scheme: Khosru
Authorities asked to bring at least 1 member from each of 4 crore families under the scheme by 2030
The Asian Development Bank (ADB) has pledged a $100 million loan to strengthen Bangladesh's Universal Pension Scheme, with a feasibility study on the initiative currently underway, Finance Minister Amir Khosru Mahmud Chowdhury said today (12 May).
He made the disclosure at a meeting on the progress, challenges and future roadmap of the Universal Pension Scheme held at the Secretariat. During the meeting, the finance minister directed the National Pension Authority to set a target of enrolling at least one member from each of the country's nearly 4 crore families under the pension scheme by 2030.
He also expressed a positive stance on introducing a Shariah-based pension scheme, considering lifetime pension benefits for nominees, and including outsourced workers under the Progoti scheme to make the programme more attractive.
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National Pension Authority Executive Chairman Md Suratuzzaman informed the meeting that as of 30 April, a total of 377,545 citizens had registered under the four pension schemes—Probas, Progoti, Surakkha and Samata.
Total deposits in the pension fund had reached around Tk255.7 crore, while total investments, including profits, stood at Tk279.74 crore, he added.
Officials said around 85% of Bangladesh's workforce is employed in the informal sector, while warning that the old-age dependency ratio is projected to rise from 9.4% in 2023 to 24% by 2050 and 48% by 2075.
Against this backdrop, participants stressed the need to make the Universal Pension Scheme more robust and inclusive.
The meeting was also informed that contributions are currently being collected through 45 banks and financial institutions, as well as mobile financial services bKash, Nagad and Teletalk Bangladesh Limited. Registration is also being carried out through Union Digital Centres.
Khosru reiterated that ensuring financial security for private-sector employees in old age through a pension fund remains a key commitment of the government, adding that the Universal Pension Scheme could play a major role in achieving that goal.
He also stressed the need to strengthen public trust, expand awareness campaigns, enhance cybersecurity, and recruit skilled manpower.
