Over 518,000 Zambians Access Partial Pension Withdrawals Under New Reform
President Hakainde Hichilema has announced that more than 518,000 Zambians have accessed partial pension withdrawals ahead of retirement following the Government’s introduction of a 20 percent partial withdrawal policy under the National Pension Scheme Authority.
Addressing the National Assembly during his update on the application of National Values and Principles, President Hichilema said that, as of January 2026, a total of K10.6 billion had been paid out to 518,183 members of the National Pension Scheme Authority.
The President described the reform as one of the Government’s most consequential social protection measures, noting that it is already delivering tangible benefits to families across the country.
“As of January this year, 518,183 members of the National Pension Scheme Authority had accessed their 20 percent partial withdrawal. In monetary terms, this amounts to K10.6 billion going to the owners long before they retire,” President Hichilema said.
He explained that beneficiaries are using the funds to improve their living conditions and productivity, including completing houses, investing in water and sanitation, and purchasing farming equipment.
President Hichilema emphasised that access to pre-retirement benefits is voluntary, but the high uptake demonstrates the positive impact of the policy.
“This is optional, it is not mandatory, but you can see from the uptake that it is working for families. This is tremendous and life-changing for our people,” he said.
Responding to critics who warned that the policy could destabilise NAPSA, the President dismissed the concerns, arguing that releasing funds to contributors stimulates economic activity and supports growth.
“Some said it would bankrupt NAPSA. No, you need to understand money matters. Sometimes money sits in a latent form. It is better to give it to the owners so they can engage in economic activity, create jobs, and contribute to the growth of the economy,” he said.
Reflecting on the origins of the reform, President Hichilema recalled raising the issue during his years in opposition and said the policy is now bearing fruit since the UPND Government assumed office.
Beyond pension reform, the President outlined a broader package of labour sector reforms aimed at promoting dignity, social justice, and non-discrimination in the workplace.
These include a more transparent public sector recruitment system, the extension of pension coverage to the informal sector which accounts for over 70 percent of the national workforce, an increase in the minimum wage, and strengthened occupational safety and health legislation in line with the Government’s decent work agenda.
He said the combined reforms have improved income security, enhanced financial resilience, and expanded social protection for citizens across Zambia.
