The Sunday Mail
Gandy Gandidzanwa and Itai Mukadira
When it comes to pensions, most discussions usually centre on what financial portfolios are safest or grow the fastest, as well as whether promises by pension funds and their boards can be relied on.
The extent to which inflation erodes members’ retirement savings is also topical.
While stakeholders are preoccupied with all these critical questions, little focus is given to the utilitarian value of pensions to the economy.
Granted, the primary objective of pensions is financial security in old age, which, therefore, makes focus on the health of the pension system extremely important.
It is even critically important for members who consider pensions as their only source of retirement income.
However, the secondary goal of the pension funds policy should also be to facilitate economic growth and development, including helping to achieve efficiency in financial markets.
An efficien...
