The Auditor General’s Report on Parastatal Bodies for the financial year ended 31st December 2024 has revealed that government failed to fund over K94 billion in the Public Service Pension Fund (PSPF) between 2020 and 2023, exposing thousands of public workers to pension insecurity.
The report has revealed that actuarial assessments identified funding gaps of K50.42 billion in 2020 and K43.88 billion in 2023, with pension assets covering only 9 percent of future pension obligations.
Acting Auditor General Dr. Ron Mwambwa says the findings point to deep-rooted weaknesses in governance, financial management and accountability across several public institutions and state-owned enterprises (SOEs).
Dr. Mwambwa has further warned that Government’s delay in remitting K96.56 million in pension contributions for December 2024, combined with K14.9 million in outstanding rental income, poses a serious long-term fiscal risk to the sustainability of public sector pensions.
By Best Jere
