The Minister for Employment, Labour Relations and Pensions, Honourable Ignatius Baffour Awuah has announced that the Social Security and National Insurance Trust (SSNIT) has made significant strides in expanding pension coverage through its Self-Employed Enrolment Drive (SEED) initiative.
The initiative launched in May 2023, has successfully enrolled over 103,292 self-employed individuals onto the SSNIT Scheme, marking a crucial step toward ensuring financial security for a broader section of the Ghanaian workforce.
The Minister made the statement at the Minister’s Press Briefing organised by the Ministry of Information in Accra today.
He stated that the SEED initiative was introduced to address the long-standing issue of low pension coverage among self-employed workers, who make up a significant portion of Ghana’s labor force. By offering tailored benefits and flexible contribution plans, SEED aims to provide self-employed persons with the same financial security that salaried workers enjoy under the SSNIT Scheme.
“With the launch of SEED, we are making pensions accessible to every Ghanaian, regardless of their employment status. This initiative is a game-changer for self-employed individuals who previously lacked the means to secure their future through pension contributions,” Hon. Baffour Awuah explained.
He revealed that in the first half of the year 2024, SSNIT has collected 90.8% of its projected private sector contributions, amounting to GHS 2.4 billion, slightly below the expected GHS 2.6 billion.
The Minister added that, the public sector contributions had exceeded expectations, with SSNIT collecting a total of GHS 3.2 billion, representing 144% of the projected GHS 2.2 billion.
The SEED initiative itself has already generated GHS 52.6 million in contributions, a figure expected to grow as more self-employed individuals join the scheme.
“Our focus is not just on expanding coverage, but also on ensuring that these contributions translate into meaningful benefits for our members. The success of SEED so far is a testament to the trust that self-employed Ghanaians have placed in SSNIT to safeguard their future,” the Minister said.
Hon. Baffour Awuah mentioned that beyond the success of the SEED initiative, SSNIT’s total assets under management have seen substantial growth, increasing from GHS 15.2 billion in December 2016 to GHS 71.69 billion by March 2024.
This, he said represented a remarkable 350% increase over a seven-year period. These assets are critical for investment, infrastructure development, and job creation, contributing to the broader economic growth of the country.
The Minister reiterated Government’s commitment to ensuring the responsible management and protection of pension funds.
“The success of initiatives like SEED underscores the importance of our fiduciary responsibility. We will continue to safeguard the pensions of all contributors and ensure that their future remains secure,” he said.
Source: MOI (PR Unit)
