Pension Reform Proposals presented to OPM Technical Team.

By Leticia Kahubire

KAMPALA

The Office of the Prime Minister’s technical team on Monday 11^th May, 2026 while attending their weekly meeting, were briefed on the proposed reform of Uganda’s Public Service Pension Scheme(PSPS), aimed at strengthening sustainability, efficiency, and timely access to retirement benefits for Public Servants.

The engagement was organized by the Assistant Commissioner for Human Resource Management, Mr. James Sanya, as part of efforts to enhance staff awareness on key public service and pension reforms.

The presentation was delivered by the Assistant Commissioner for Human Resource Management-Pensions Management at the Ministry of Public Service, Mr. Amori Moses Sebbi, who outlined the transition from the current unfunded and noncontributory pension system to a fully funded Defined Benefit scheme under the proposed Public Service Pension Fund(PSPF).

Mr. Sebbi noted that pension and gratuity expenditure has grown from UGX 420 billion in Financial Year 2016/17 to UGX 1.4 trillion in Financial Year 2025/26, while pension liabilities have significantly increased over the years, raising concerns about sustainability.

The proposed reforms will establish a dedicated pension fund governed by a Board of Trustees and regulated by the Uganda Retirement Benefits Regulatory Authority. The scheme will introduce a 15% contribution structure, with Government contributing 10% and employees contributing 5%.

According to the Ministry of Public Service, the reforms will improve transparency, guarantee timely payment of retirement benefits, and reduce fiscal pressure on Government while strengthening long term national savings and investment.

Implementation of the proposed scheme is expected to commence in financial year 2026/27.

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