The new budget for fiscal 2019-20 includes plan for universal pension for all, which will be a major step in ensuring social security.
Pension for all employed citizens in both formal and informal sectors will be ensured gradually, says the budget proposal placed at parliament on Thursday.A “Universal Pension Authority” will be formed soon for introducing pension for everyone including all employed citizens, the budget plan also said.
The government is also planning to bring all pensioners under its pension payment process—Electronic Fund Transfer (EFT).
Currently, 27,000 pensioners are recipients of EFT pension scheme. By next fiscal, this EFT process will be widened to cover all pensioners.
Finance ministry officials said “Universal Pension Authority” formation in ongoing process; hopefully it would be activated by the new fiscal year. First year only government pensioners would be included in this pension scheme.
The pension scheme will include all employed citizens in both formal and informal sectors within the next three years, they added.