Understanding the Role and Functions of the Retirement Benefits Authority of Kenya

April 12, 2023 Majira Media

Retirement benefits are an essential component of the social and economic welfare of individuals and societies. In Kenya, the Retirement Benefits Authority (RBA) is the regulatory body tasked with overseeing the retirement benefits sector. The RBA is responsible for promoting, regulating, and supervising the establishment and management of retirement benefits schemes in Kenya. It plays a critical role in ensuring that the interests of scheme members and beneficiaries are protected, and retirement benefits schemes operate in compliance with the law and best practices. In this article, we will discuss the functions and role of the Retirement Benefits Authority of Kenya in detail, highlighting its contribution to the development of the retirement benefits sector in Kenya.

Background Information

The Retirement Benefits Authority (RBA) is a regulatory body in Kenya that oversees and regulates the establishment and management of retirement benefits schemes. It was established under the Retirement Benefits Act of 1997 and is mandated to register, supervise, and monitor the operations of retirement benefits schemes.

The RBA is responsible for ensuring that the retirement benefits sector operates in a transparent, efficient, and effective manner to protect the interests of scheme members and beneficiaries. Its core functions include licensing of retirement benefits schemes, ensuring compliance with regulatory requirements, monitoring the investment of scheme funds, and resolving disputes between scheme members and their providers.

The RBA has also developed a comprehensive framework for the supervision of the retirement benefits sector, including the development of guidelines for the operation of schemes and the conduct of their trustees and managers. Additionally, the RBA conducts public education and awareness programs to educate the public on the importance of saving for retirement and the benefits of participating in retirement benefits schemes.

Functions of Retirements Benefit Authority of Kenya

The Retirement Benefits Authority (RBA) of Kenya has several functions, which include:

Licensing of Retirement Benefits Schemes: The RBA is responsible for registering and licensing retirement benefits schemes in Kenya, such as pension schemes and provident funds.
Supervision and Monitoring of Retirement Benefits Schemes: The RBA supervises and monitors the operations of retirement benefits schemes to ensure compliance with regulatory requirements and best practices. This includes monitoring the management of scheme funds, investments, and reporting.
Development of Guidelines and Standards: The RBA develops guidelines and standards for the operation of retirement benefits schemes, trustees, managers, and service providers. These guidelines ensure that the schemes operate in a transparent, efficient, and effective manner.
Protection of Retirement Benefits Members and Beneficiaries: The RBA ensures that the interests of retirement benefits scheme members and beneficiaries are protected by monitoring and enforcing compliance with the law, regulations, and guidelines.
Dispute Resolution: The RBA provides mechanisms for the resolution of disputes between retirement benefits scheme members, trustees, managers, and service providers.
Public Education and Awareness: The RBA conducts public education and awareness programs to educate the public on the importance of saving for retirement, the benefits of participating in retirement benefits schemes, and their rights and obligations as members.
Research and Development: The RBA conducts research and development on retirement benefits schemes and related issues to inform policy and regulatory decisions.
Review of Retirement Benefits Regulations: The RBA has the mandate to review and make recommendations on the Retirement Benefits Act and its regulations to ensure that they are up to date and relevant to the needs of the industry.
Approval of Trustees and Service Providers: The RBA approves trustees and service providers of retirement benefits schemes to ensure that they are qualified and capable of managing scheme funds and assets.
Investment Monitoring: The RBA monitors the investment of scheme funds to ensure that they are prudently invested and that the investments are safe and secure.
Reporting and Disclosure: The RBA ensures that retirement benefits schemes provide accurate and timely reporting on their operations, investments, and financial status. It also ensures that scheme members receive regular and comprehensive disclosure on the performance and status of their benefits.
Capacity Building: The RBA conducts capacity building programs for retirement benefits schemes, trustees, managers, and service providers to enhance their skills and knowledge on best practices in the industry.
International Cooperation: The RBA collaborates with other regulatory bodies and stakeholders in the international retirement benefits sector to exchange information, knowledge, and best practices.

Retirements Benefit Authority Leadership

The Retirement Benefits Authority (RBA) of Kenya is led by a board of directors appointed by the Cabinet Secretary for National Treasury. The board comprises a chairperson, a CEO, and several non-executive directors. The board is responsible for the overall strategic direction and policy formulation of the RBA.

The current board of the RBA is chaired by Nelson Havi. The CEO is Mr. Charles M. Machira. The other non-executive directors are:

The board is supported by a management team led by the CEO, which is responsible for the day-to-day operations of the RBA. The management team comprises several departments responsible for various functions of the RBA, including registration and licensing, supervision and monitoring, legal and enforcement, finance and administration, and human resources and development.

Retirements Benefit Authority Contacts

Here are the contact details for the Retirement Benefits Authority (RBA) of Kenya:

Physical Address: Rahimtulla Tower, 13th Floor, Upper Hill Road, Nairobi

Postal Address: P.O. Box 57733-00200, Nairobi, Kenya

Phone: +254 (020) 280 9000

Toll Free No: 0800720300 (Safaricom Network)

Email: info@rba.go.ke

Website: www.rba.go.ke

Social Media: The RBA is active on Twitter and LinkedIn, where they share updates, news, and information about the retirement benefits sector in Kenya.

Twitter: @rba_kenya LinkedIn: Retirement Benefits Authority (Kenya)

Office Hours: The RBA office is open from Monday to Friday, 8:00 a.m. to 5:00 p.m. except on public holidays.

Related:

RBA Vision:

“An inclusive, secure and growing retirement benefits sector.”

RBA Mission:

“To proactively promote savings for retirement in Kenya through safeguarding, supervising and facilitating the development of the retirement benefits sector.”