ZIMBABWE’S pension sector membership grew 14 percent in the first quarter of 2026, following the reinstatement of over 146 000 dormant members of the Construction Industries Pension Fund, according to the Insurance and Pensions Commission (IPEC).
Total membership rose to 1 142173 from 998 072 for the quarter to December 31, 2025.
In its pension report for the three months ended March 31, 2026, IPEC said the increase came as sector income rose 74 percent year-on-year to US$313,49 million, but it warned funds against poor data management.
“This growth mainly resulted from the reinstatement of 146 861 previously dormant, unclaimed members of the Construction Industries Pension Fund following data cleanup resulting from corrective action,” said IPEC.
The regulator is now pushing for better record-keeping, saying the pension funds should ensure that they maintain accurate data on their members.
“Gaps noted will result in regulatory sanctions,” it said.
IPEC also said the number of registered occupational pension funds increased from 971 to 975 during the period.
Of the total, 477 funds, or 49 percent, were active, while 498 were inactive and paid up, with the majority earmarked for dissolution.
By benefit structure, the sector comprised 938 defined contribution funds, 34 defined benefit funds, and three hybrid schemes.
On administration, 961 funds had outsourced services as of March 31, 2026. Of these, 802 were insured funds and 159 were self-managed.
There were 14 registered fund administrators, comprising five independent administrators and nine life assurance companies offering fund administration.
IPEC registered four new pension funds in Q1 2026: the Zimnat Life Umbrella Fund, Doves Micro Provident Fund, Zimbabwe Platinum Mines Private Limited Pension Fund and Rainbow Insurance Brokers Pension Fund.
“Registration is required prior to the remittance of contributions and before any administrative or operational activities begin. Additionally, continuous reporting is mandatory for every fund, irrespective of its status or condition,” said the regulator.
Meanwhile, IPEC said the sector’s financial health is anchored on three pillars: membership activities, investments, and administration.
“Total income for the period ended 31 March 2026 reached US$313,49 million, reflecting a 74 percent increase compared to US$180,13 million recorded in the same period of the previous year,” IPEC reported.
“Of this total income, US$195,41 million was generated in foreign currency, representing 62 percent of the sector’s overall earnings, with the remaining 38 percent denominated in ZWG.”
Income from membership-related activities and investments remained dominant, jointly accounting for US$311,82 million (ZWG7,98 billion).
Expenditure also rose, with IPEC saying total expenditure for the period under review amounted to US$70,71 million (ZWG1,81 billion), a 47 percent increase on US$47,99 million recorded in the preceding year.
Of that, US$29,83 million, or 43 percent, was in foreign currency.
IPEC said the results show the sector’s revenue streams remain investment- and contribution-led, underpinning sustainability as membership expands following the data clean-up exercise.-herald
