In a strong call to action, the Chief Executive Officer of the National Pensions Regulatory Authority (NPRA), Christopher Boadi-Mensah, has urged Ghanaians to go beyond mandatory pension contributions and actively invest in the Tier 3 pension scheme to secure their financial future.
Speaking at the 2025 B&FT–Ecobank Money Summit, themed “Optimising Investment and Pensions Management: Strategies for Sustainable Retirement Income and Economic Growth,” Boadi-Mensah highlighted the structural limitations of Ghana’s current two-tier mandatory pension system and made a compelling case for voluntary retirement planning.
“Our current pension arrangement, anchored on Tiers 1 and 2, while foundational, is not robust enough to guarantee a dignified and comfortable retirement, That’s why Tier 3 exists to empower individuals to take charge of their own futures through voluntary contributions.” he stated.
Tier 3 pensions, under Ghana’s three-tier pension scheme, allow workers both formal and informal sector participants to make additional, tax-incentivized savings toward retirement. While the first two tiers (managed by SSNIT and private corporate trustees respectively) are compulsory, Tier 3 remains largely underutilized due to its voluntary nature.
“Because it’s voluntary, it’s easy to ignore but that mindset must change,” Boadi-Mensah noted. “The truth is, we all need to do more. Retirement planning must be seen not as an option, but a personal investment strategy. Tier 3 is one of the most practical tools available for that purpose.”
His comments come at a time when retirement security is emerging as a major concern in Ghana’s evolving economic landscape. Rising living costs, informal employment, and increasing life expectancy have all placed additional pressure on traditional pension structures.
For employers and financial institutions, the NPRA’s message presents an opportunity to deepen engagement with staff and clients on long-term financial planning. With the right financial education and incentives, Tier 3 schemes can become a powerful vehicle not only for individual wealth creation but also for deepening the domestic savings base critical for Ghana’s broader economic development.
“The time to act is now,” Boadi-Mensah concluded. “We must cultivate a culture of proactive savings, not just to retire, but to retire with peace of mind and purpose.”
