Universal Pension: PM likely to roll it out August 17

Prime Minister Sheikh Hasina may unveil the Universal Pension Scheme for ordinary citizens on August 17.

People at home and abroad would then be able to register with the scheme. But the registration would be on a limited scale.

The finance ministry could not roll out the pension scheme on a full-fledged basis as it is yet to complete all preparatory work.

It has already finalised two rules to execute the scheme. The rules have been sent to the law ministry for vetting.

Details of the rules may be disclosed before the pension scheme's rollout, sources said.

Four separate schemes for both local and non-resident Bangladeshis have been formulated. The schemes -- Probas, Progoti, Surokkha and Samata -- can be availed by everyone except government employees.

There will be different ceilings in the Probash scheme, which is for non-resident Bangladeshis. The instalments can be paid in dollars.

The Progoti scheme is for private sector employees and will be similar to the provident fund. Employees will pay a certain percentage of their basic salaries towards the scheme and their employers would be putting in the same amount.

The Surokkha scheme was designed for those in the informal sector. There will be different instalment ceilings. The instalment amount will not be dependent on basic salaries.

Samata scheme is for the poor, with the government bearing half the instalment amount.

The schemes will be operated through apps. For smoother operations, over 100 tech experts will be recruited by the authority.

The government has already formed a two-member National Pension Authority to execute the pension scheme formulated to provide pension services for the common people.

Kabirul Ezdani Khan, an additional secretary of the finance division, has been made the executive chairman of the body, and Golam Mostofa, another additional secretary of the division, is the executive member.

In January, the government enacted the Universal Pension Management Act-2023.

Under the proposed scheme, a beneficiary can enjoy pension benefits subject to the payment of a subscription fee up to the age of 60 if the person enrols between 18 and 50 years of age.