The universal pension system is being launched keeping in mind that there are about 10 crore people in the four classes of the country. According to the calculations of the Finance Department of the Ministry of Finance, the number of people over 60 years of age will be 1 crore, 2 million in 2020, and 3 crore, 10 million in 2041.
To bring this large population under a sustainable and well-organized social security framework and to create an opportunity to protect 85 percent of the society engaged in the low-income and informal sectors, the government is launching a universal pension system (scheme) for the first time in the country.
When asked about the number of people who will come under the universal pension scheme, a responsible officer of the National Pension Authority said yesterday that the government is thinking of providing protection to 10 crore people who are more than 18 years old in the country and abroad through the pension scheme.
The universal pension authorities say that the average life expectancy of people is increasing. The number of elderly people and their insecurities are gradually increasing. And this is why a universal pension system is being introduced.
The journey of the universal pension system starts with four different schemes. These are migration, progress, protection, and equality. The expatriate scheme is only for expatriate Bangladeshis. The Pragati Scheme is for employees of private companies.
Protection schemes for self-employed citizens like rickshaw pullers, farmers, laborers, blacksmiths, potters, fishermen, weavers, etc. And the Samata scheme is for low-income people.
The National Pension Authority, under the Finance Department, is the body responsible for managing and implementing the universal pension system. The Pension Authority’s website was launched on Wednesday. The website address is www.upension.gov.bd.
It says, ‘Ensure your future financial security by participating in a public universal pension scheme.’ Basic information about pension schemes is mentioned in the website address.
The National Identity Card (NID) is mandatory to come under the pension scheme. Expatriate Bangladeshis who do not have NIDs can do so on the basis of a passport. However, the NID should be collected and submitted to the Pension Authority as soon as possible.
Prime Minister Sheikh Hasina will inaugurate this pension system at 10 am on Thursday. After the inauguration, any Bangladeshi above the age of 18 living in the country or abroad can come under the universal pension system.
Finance Minister AHM Mustafa Kamal, Bangladesh Bank Governor Abdur Rauf Talukder, Finance Secretary Fatima Yasmin, National Pension Authority Chairman Kabirul Izdani Khan, and others will be present at the opening ceremony.
Although the Universal Pension System has been launched today, the late Finance Minister Abul Mal Abdul Muhith took the first initiative in this regard in 2015. A team from the Finance Department visited India in 2016 and developed a concept paper.
Universal Pension System: A Landmark Initiative for Financial Security and Elderly Welfare
However, Abdul Muhit could not finish the work. The discussion gained momentum again in 2022 and another concept paper was prepared by the finance department this year. Then on January 31 this year, the National Pension Authority was formed under the Universal Pension Management Act and the Act on February 12.
In the budget speech of the current financial year, the finance minister said that in the election manifesto of 2008, Prime Minister Sheikh Hasina promised to introduce a universal pension system nationally to ensure old age protection to the elderly population under a sustainable and well-organized social security structure.
Following this, in 2015, the government formulated the National Social Security Strategy. It proposes to develop a comprehensive integrated participatory universal pension system in the country.
According to the National Pension Authority website about the features of the pension system, there will be a separate pension account for each contributor. The contributor will start getting pension from the age of 60 years.
If he dies before completing 75 years, his nominee will get a universal pension on a monthly basis for the remainder of the age of 75. If someone dies before 10 years of subscription, the nominee will get back the accumulated money along with the profit. The pension money will be treated as an investment and the monthly pension money will be income tax-free.
How to register
In order to be included in the public pension scheme, one has to register on the website of the pension authority. First, there will be a page, where these words will be written, ‘I certify that I am not working in any government, semi-government, autonomous, or non-government organization. Do not receive benefits from any type of government or autonomous institution other than the public pension scheme. I do not receive any benefits under the social security program.’
After clicking on the ‘I agree’ section, you can go to the second page and start the registration process. Here the applicant has to select the applicable scheme from among the four schemes: immigration, Equality, protection, or Progression. At the same time 10, 13, or 17-digit NID number, date of birth, mobile number, and e-mail ID should be written. Then enter the captcha at the bottom of the page to go to the next page.
The third step of the registration process will be the personal information page. On this page, according to the person’s NID, the NID number, photo, Bengali and English name of the applicant, father’s name, mother’s name, and current and permanent address will automatically appear (as this information is given on the previous page).
However, here the annual income of the applicant should be entered and the name of the profession, own division, district, and upazila should be selected.
In the occupation selection room, occupations such as teachers, private employees, small traders, tradesmen, day laborers, lawyers, journalists, etc. are mentioned. You have to choose your profession from there. Once all the entries are done, go to the next ‘Scheme Information’ page.
When you come to the scheme information page, you have to select the number of monthly subscriptions and the mode of payment for the subscription. There are three options for subscription payment: monthly, quarterly, and yearly. Then go to the bank information step.
On the bank information page, the name and number of the applicant’s bank account, type of account (savings or current), routing number, name of the bank, and name of the bank branch should be written. Then go to the next nominee’s information page.
After clicking on the ‘I agree’ section, you can go to the second page and start the registration process. Here, the applicant has to select the applicable scheme from among the four schemes: immigration, Equality, protection, or Progression.
Go to the nominee information page and add the nominee with the nominee’s National Identity Card number and date of birth. At this time, the last ‘Complete Form’ step should be given with details of the Nominee’s Mobile Number, Relationship with the Nominee, and availability rate (if multiple nominees).
This is the last step of registration. In this step, personal information, scheme information, bank information, and nominee information filled out earlier will be shown. If there is any mistake, you have to start again and make the necessary corrections.
And if all the information is correct, the application process should be completed by agreeing to it. At this time, the applicant can also download the complete application.
The third step of the registration process will be the personal information page. Coming to this page, according to the person’s NID, the NID number, photo, Bengali and English name of the applicant, father’s name, mother’s name, and current and permanent address will automatically appear (as this information is given on the previous page).
Registration is through Sonali Bank for now
Registration can be done by filling out the online form or directly visiting any branch of Sonali Bank and making the subscription starting today, Thursday. Mobile Financial Services (MFS) institutions also have the option of making subscriptions.
Pension authority sources said that four separate accounts have been opened in Sonali Bank for four schemes. Contributions will be deposited in these accounts. The journey started with Sonali Bank but later other banks will join.
7, 7 and a half, and 10 thousand takas in the expatriation scheme; There is an opportunity to contribute 2, 3, and 5 thousand takas in the progress scheme; and 1, 2, 3, and 5 thousand takas in the protection scheme. Only in the Samata scheme, the subscription rate is one, and that is 1000 rupees. Out of this, the contributor will contribute 500 rupees, and the government will contribute 500 rupees.
Managing Director of Sonali Bank Afzal Karim told Prothom Alo yesterday, ‘All 1,229 branches of our bank in the country are ready to serve the universal pension system. We have an agreement with the Pension Authority in this regard.’
Afzal Karim said that anyone above 18 years of age can pay the pension scheme contribution through this bank, regardless of whether one has an account in Sonali Bank or not.
