THE South African Social Security Agency has a poor reputation when it comes to the African pension plans it offers. Every month we are inundated with messages from Beneficiaries of the SASSA old age pension wishing I could receive more than what R2 190 (over 60 years old) and R2 210 (over 75 years) monthly allowance.

So wanting better context on how our Long-established SASSA scheme compared to other African old age pension benefits, we have traced comprehensive reports on the social protection of the International Labor Organization (ILO). In addition to data on pensions by country on the continent from the World Bank And African Development Bank.

AFRICAN OLD AGE PENSION BENEFITS

Beyond the obvious comparison with SASSA Grant Scheme 2024This in-depth look at retirement benefits in Africa is all the more relevant as Organization for Economic Cooperation and Development sounded the alarm on the continent. According to the OECD, Africa is the fastest aging continent in the world. It predicts that by 2050, more than two billion people will be over 60 years old. In fact, those over 60 are the fastest growing population group on the continent, followed by those under 18. So soon you will have an inverse bell curve of a tax-paying middle class that supports the ever-increasing demands of young and old people for social protection.

Likewise, both the International Social Security Association (ISSA) And United Nations Economic Commission for Africa Let’s admit that it can be difficult to find accurate and up-to-date pension data in all African countries. Nonetheless, here is our overview of the top ten African pension schemes, taking into account comprehensiveness, sustainability and, of course, benefits…

TOP 10 AFRICAN GOVERNMENT PENSIONS

1. Zambia

• Monthly pension: $215 (R3,830)*
• A comprehensive social security system
• A solid legislative framework
• Several levels of retirement
• Means and active ingredients tested: Yes
• Eligibility: 60 years and over, citizenship requirements
• Zambian Government Services

2. South Africa

• Monthly pension: $120 (R2,210)*
• A comprehensive social security system
• A solid legislative framework
• Several levels of retirement
• Means and active ingredients tested: Yes
• Eligibility: 60 years and older, low income
• South African Social Security Agency (SASSA)

3. Maurice

• Monthly pension: $118 (157 R2)*
• A solid pension plan for the public service
• High coverage for government employees
• Stable economic management supports the pension fund
• Resource conditions: Partially
• Active tested: limited
• Mainly for public sector employees
• Website of the Republic of Mauritius

4. Botswana

• Monthly pension: $90 (R1,630)*
• Good coverage for civil servants
• A stable economy supports the pension fund
• Resource conditions: Partially
• Active tested: limited
• Mainly for public sector employees
• Botswana Unified Revenue Service

5. Namibia

• Monthly pension: $80 (R1,450)*
• A well-structured public sector pension system
• Good legal protections for retirees
• Subject to resource conditions: Yes
• Active tested: minimal
• Social Security Commission of Namibia

6. Morocco

• Monthly pension: $70 (R1,270)*
• Covers public and private sector workers
• Subject to resource conditions: Yes
• Active tested: limited

7. Tunisia

• Monthly pension: $60 (R1,087)*
• A comprehensive social security system
• Relatively high coverage for a North African country
• Resource conditions: Yes
• Asset tested: moderate

8. Algeria

• Monthly pension: $55 (R997)*
• State-run pension system
• Significant oil revenues support pension funds
• Monthly pension:
• Resource conditions: Partially
• Active tested: minimal

9. Egypt

• Monthly pension: $50 (R906)*
• Several retirement plans
• Challenges linked to economic volatility
• Subject to resource conditions: Yes
• Active tested: limited

10. Kenya

• Monthly pension: $40 (R725)*
• Improving the civil service retirement system
• Reforms underway to improve sustainability
• Subject to resource conditions: Yes
• Active tested: minimal

*Important caveats to note are that pension amounts may fluctuate depending on economic conditions and dollar exchange rates in that country. And although significant disparities remain across the continent, many countries are implementing strong social security reforms. No easy task in the face of economic volatility, limited government resources and the continent’s aging population. But what do you think?

HOW CAN SASSA RANK ONLY SECOND IN AFRICA?

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