Rwanda expands retirement savings for informal workers

Rwanda’s Ejo Heza savings program is expanding retirement coverage among informal workers, who represent more than 80 per cent of the country’s workforce.

Sebastien Betermier, associate professor of finance at McGill Desautels, says the program’s flexible contributions address the income volatility and employment uncertainty these workers face.

Members can save through mobile phones, access insurance benefits and withdraw limited funds for emergencies, while government backing strengthens credibility.

Betermier notes that Ejo Heza’s individual savings accounts may also support long-term sustainability. With 4.8 million members enrolled, the program offers a potential blueprint for inclusive retirement systems elsewhere.