The minister made the remarks yesterday in Dodoma when speaking at a workshop to educate prospective pensioners on how to enjoy a financially secure life after many years of serving the country diligently.
The move is in line with its inclusive finance commitment and dedication to provide innovative banking solutions to all segments of society.
Prof Ndalichako described the package and its education programme as an innovative idea and a brilliant scheme for advancing decent pensioners’ lives.
She added that it adds value to efforts of the government to better the local pensions sector and ensure senior citizens not only enjoy their retirements but also continue to play a decisive role in national building efforts.
“The government will continue to create proper operational conditions for pension funds and improve the investment environment so that pensioners can capitalize on opportunities brought by lenders like the NMB Hekima Plan,” Prof Ndalichako pointed out.
Stressing the importance of retirees’ fiscal discipline in spending their pensions, the minister said measures taken by the government in the sector include improving the liquidity positions of pension schemes and enhancing services.
She said these have included strengthening the financial position of the Public Service Social Security Fund (PSSSF) by drastically reducing its debts through a special bond from the 4.6 trn/- it was in 1999.
“The government has also cleared a big chunk of its debts to the PSSSF by paying 500bn/- of the 982bn/- it owed the scheme,” she explained.
According to her, investments being made in digital solutions have greatly improved delivery of pension services in the country and support from stakeholders like NMB Bank will further make things better.
Vicky Bishubo, bank’s head of government business department told over 400 Dodoma pensioners and future retirees that the financial solutions will principally enable them to cope with challenges of life during retirement.
She said that NMB Hekima Plan that also enables pensioners to make informed investment decisions is part of the enlightenment programme seeking to accord them a life with dignity after many years of active national service.
"NMB Bank is a market leader that will continue to improve how to better serve retirees and extend to them the requisite financial knowledge and resources,” she added, noting that the development cements the commitment to provide highly innovative services to all members of society.
Bishubo said financial solutions in the package include various flexible-term soft loans as well as mortgages through which pensioners can borrow up to 1bn/-.
There are also special accounts with benefits such as a 2m/- compensation in case of death of retirees or their spouses and a similar amount for permanent disability.
The arrangement equally offers senior citizens lessons on health issues and how to securely manage their finances as well as guiding them where to profitably invest their pensions.
The other key aspect of NMB Hekima Plan are its various life and property insurance policies, whose premiums Ms. Bishubo said are highly competitive in the market.
She told participants at the Dodoma Forum that similar education workshops will be conducted throughout the country, noting that the presence of prospective pensioners at the event was because it was good to prepare them for retirement.
According to her, NMB Bank strongly believes that the lessons learnt from the programme will adequately address fears of life after retirement as the future retirees will be well prepared and equipped to cope with the situation.
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