All About Retirement Benefits Authority of Kenya

The Retirement Benefits Authority of Kenya (RBA) is a regulatory body established to oversee the administration of retirement benefits in Kenya.

The RBA was established by an Act of Parliament in 2003, making it a statutory body responsible for regulating and supervising retirement benefits schemes in the country.

One of its key functions is to ensure that retirement benefits schemes are managed in a transparent and accountable manner, protecting the interests of scheme members.

The RBA's oversight ensures that scheme administrators comply with the Retirement Benefits Act and its regulations, providing a framework for the administration of retirement benefits.

The Retirement Benefits Authority of Kenya was established under the Retirement Benefits Act of 2003, which aimed to provide a framework for the administration of retirement benefits in Kenya.

The Authority's primary objective is to regulate and supervise the administration of retirement benefits in Kenya, ensuring that they are managed in a transparent and efficient manner.

The Retirement Benefits Authority is responsible for overseeing the operations of retirement schemes, including pension schemes, provident funds, and other retirement plans, to ensure compliance with the law and good governance practices.

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In Kenya, the retirement benefits sector was previously regulated by fragmented legislation, mostly Trust and Income Tax Laws. This led to serious challenges in the administration of the sector.

Prior to the establishment of a central body, pension schemes operated in different styles, causing problems.

The Retirement Benefits Act was enacted to resolve this issue by centralizing the administration of the sector within a single entity.

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The Retirement Benefits Authority has a clear set of objectives that guide its work. These objectives are designed to promote the well-being of members and sponsors of retirement benefits schemes.

The Authority's main goal is to protect the interests of members and sponsors. This means ensuring that their rights are respected and their benefits are secure.

One way the Authority achieves this is by regulating and supervising the establishment and management of retirement benefits schemes. This helps to prevent any potential abuse or mismanagement.

The Authority also advises the Government on matters related to retirement benefits. This involves providing expert advice and recommendations to inform policy decisions.

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In addition to advising the Government, the Authority is responsible for implementing all Government policies relating to retirement benefits. This involves working closely with other government agencies to ensure that policies are effectively implemented.

Here are the specific objectives of the Retirement Benefits Authority in a nutshell:

The Retirement Benefits Authority of Kenya is responsible for regulating and supervising retirement schemes in the country.

The Authority's main financial target is to ensure that all retirement schemes are solvent and can meet their future liabilities.

In the 2020/2021 financial year, the Authority collected KES 23.6 billion in contributions from employers and employees.

This amount is used to fund the retirement benefits of members in various schemes.

The Authority's goal is to ensure that all retirement schemes have a minimum funding level of 80% by the end of each financial year.

As of June 2021, the Authority reported that 87% of the schemes it regulated had a funding level of above 80%.

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