By Cecilia Chiluba/Zambia/Lusaka
Zambia’s pensions industry recorded strong growth in 2025, with total assets rising to K25.61 billion by the end of the third quarter.
The growth was underpinned by improved investment performance, increased contributions and growing scheme membership.
Speaking during the Pensions and Insurance Authority (PIA) end-of-year media engagement in Lusaka, Registrar and Chief Executive Officer, Namakau Ntini said the pensions sector remained resilient and continued to play a critical role in supporting national economic development.
Mrs. Ntini disclosed that the industry’s net asset value rose from K23.78 billion as at June 30, 2025 to K25.61 billion by the end of September, largely driven by favourable returns from listed equities and continued investment in government securities and infrastructure-related portfolios.
“The pensions industry has continued to demonstrate resilience and steady growth, contributing directly to Zambia’s economy through long-term investments that support development,” she said.
Total contributions into pension schemes also recorded an upward trend, rising to K745.11 million in the third quarter from K738.04 million in the second quarter, representing an increase of K7.07 million.
According to Mrs. Ntini, the growth in contributions was mainly attributed to an increase in participating employers, particularly under multi-employer pension schemes.
She disclosed that at the same time, total benefits paid to members increased to K738.41 million in the third quarter from K692.37 million in the preceding quarter, reflecting improved benefit payments to retirees and exiting members.
Membership across the pensions industry expanded to 172,952 in the third quarter from 168,043 in the second quarter, representing a net increase of 4,909 members.
Mrs. Ntini attributed the growth to an increase in active members under multi-employer schemes, highlighting broader coverage within the formal and semi-formal sectors.
Of the total membership, 130,436 members, representing 75.4 percent, were male, while 42,516 members, or 24.6 percent, were female.
Shei further noted that pension funds, as long-term institutional investors, are increasingly well positioned to support sustainable development, including investments aligned to climate resilience and long-term national priorities.
“As we look ahead, pension funds will remain a key pillar in mobilizing long-term capital for sustainable investments that support economic growth and resilience,” she said.
Meanwhile, Mrs. Ntini reported that Zambia’s insurance industry has also continued to record steady growth in 2025, reflecting increased uptake of key insurance products across the country.
She disclosed that Gross Written Premiums premiums (GWP) grew by 13.1 percent in the third quarter, rising from K7 billion in September 2024 to K8 billion by September 2025.
According to Mrs. Ntini, the industry is expected to close the year with GWP exceeding K10 billion, driven largely by strong demand for motor, accident, and property insurance.
“By the end of the third quarter, the net asset value stood at K25.61 billion from K23.78 billion as at 30th June 2025. The growth was primarily driven by favorable investment performance, particularly from listed equities.”
“Total contributions increased to K745.11 million in the third quarter from K738.04 million in the second quarter, representing an increase of K7.07 million,” she reported.
She attributed this growth to a combination of regulatory support, product diversification, and increasing financial awareness among Zambians.
“We will continue to create a conducive regulatory environment and provide capacity through partnerships,” she said.
