pension

What do you do to help Rwandans who worked abroad to get their pension benefits in Rwanda?

The law allows transfer of pension benefits to countries with agreement to do so. Presently this is only possible in (private sector) Burundi. Negotiations are still underway in DRC, Burundi (public sector), EAC member countries.

In instances where beneficiaries benefit more than one pension benefits, why do you give them one and a half of the pension he is entitled to on the second and/or third file?

Article 27 of the law No06/2003 of 22/03/2003 modifying the law of August 22, 1974 concerning organization of social security in Rwanda states that; “If the beneficiary has two or several pensions or allowances, he will receive the bigger amount plus, a half of the others. Nevertheless, the orphan of both parents is entitled to the totality of those social security benefits.”

Why does RSSB not increase pension benefits based on inflation rates?

Pension is increased basing on the results and recommendations of the actuarial studies,   however, the actuarial study that was carried out in 2008 indicated that EX- CSR was in danger of running bankrupt if no strong measures are taken. Thus, they advised us not to make any further revaluation of pension as our formula of calculation was identified to be too generous.
NB. The experts who carried out this study only advised us to give good year bonus to our beneficiaries in case the institution is in position to do it.

Why RSSB does not allow contributors to access in advance pension benefits to its members before attaining the retirement age?

Article 20 of the law No No06/2003 of 22/03/2003 modifying the law of August 22, 1974 concerning organization of social security in Rwanda sets the age of eligibility to old age pension at 55. In a defined benefits regime, no pension advances are allowed.  
The awaited new law proposed a hybrid system whereby some preretirement benefits were proposed and we are still waiting for enactment of the law establishing it.

Why does RSSB restrict contributors to the voluntary insurance to less than or equal to104.000 RWF?

The law governing voluntary insurance established a ceiling of 104, 000 Rwf and this was to avoid speculations, however, this amount has been realized to be very low. The awaited new law is also likely to increase this amount.

Why doesn’t RSSB remove the Prescription of 10 years?

Article 5 of the No 32/1988 law of October 12, 1988 sets the expiry of the right to claim for pension benefits at 10 years and 2 years for occupational hazards. However this issue has been considered in the draft law.
There are some proposals made in the awaited new law to change this period.

In instances where beneficiaries benefit more than one pension benefits, why do you give them one and a half of the pension he is entitled to on the second and/or third file?

Article 27 of the law No06/2003 of 22/03/2003 modifying the law of August 22, 1974 concerning organization of social security in Rwanda states that; “If the beneficiary has two or several pensions or allowances, he will receive the bigger amount plus, a half of the others. Nevertheless, the orphan of both parents is entitled to the totality of those social security benefits.”

Why pension is not paid monthly?

The law specifies that pension can be paid either monthly or quarterly. At first, we used to pay it monthly but our clients preferred to be paid quarterly. In case they need to be paid monthly again we will change.

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