Uganda’s National Social Security Fund (NSSF) was targeting Shs695 billion in annual savings from the country’s transport sector. The goal would be pursued under the fund’s new Smart Life Flexi voluntary savings plan.
Campaign details
The Smart Life Flexi plan is a flexible, goal-oriented voluntary savings plan designed to extend social security to workers in the informal sector. NSSF estimated that if 1.2 million boda-boda riders, 400,000 taxi operators, and 4,000 bus drivers saved Shs1,000 daily, they could reach the Shs695 billion target. To facilitate this, NSSF partnered with a union representing transport operators. The transport sector is Uganda’s second-largest employer, and NSSF aims to replicate its success in registering informal sector workers like farmers in northern Uganda.
Broader strategy and context
This initiative aligned with NSSF’s 10-year strategy to expand social security coverage to 50% of Uganda’s workforce by 2035. Currently, less than 12% of the workforce, about 2.5 million out of over 20 million workers, contribute to NSSF. NSSF Managing Director Patrick Ayota emphasized the need to engage the large informal sector workforce.
Benefits for transport workers
A transport expert, Fred Senoga, views this partnership as a significant step for a sector that faces challenges with formal savings. He believes the plan offers workers, like riders with daily incomes, a secure way to save and plan for their future.
