A 23-member Board of Trustees of Council of Indigenous Business Association (CIBA) Pension Scheme was sworn into office on Tuesday.
They would be responsible for the administration and management of the scheme which is a formal retirement income security as well as appointing pension fund managers, custodians and other service providers.
Under the scheme which takes effect from January 1, 2010, members who are in the informal sector are entitled to such benefits as provision of retirement needs, life insurance, disability insurance, short-term loans, business improvements, mortgage financing, acquisition of inputs for expansion and payment of school fees.
The objective of the scheme to meet the retirement income needs of future and current members in line with the New Pensions Law, would ensure that in addition to providing lump sum benefits and monthly pension to members, all pension schemes must provide benefits on death or total disability.
Mr. Andy Asamoah, Chairman of CIBA Pension Scheme Board of Trustees, said if the scheme was properly administered and the proceeds judiciously invested, it would not only be beneficial to members but the socio-economic development of the country.
"This scheme is a pace-setter and a model for the informal sector and its success would be a catalyst for a change in the living standards of the self employed in society, "he said.
Mr. Daniel Aidoo Mensah, Member of the Pension Reform Implementation Committee, said from January next year it would be illegal to operate a pension scheme which was not in line with the New Pensions Act.
Mr. Kwame Acheampong Kyei, Managing Director of GLICO Life Insurance Company, administering the oath, pledged the company's support to ensure the success of the scheme.
The Council of CIBA was established in 1993 under PNDC Law 312 to monitor registered business associations to improve their operations.
Its membership included representatives of Market Traders Association, Ghana National Association of Garages, National Butchers Association, Ghana Association of Beauticians and Hairdressers, National Caterers Association and Association of Bakeries and Bread Owners.
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