The National Pension Scheme Authority (NAPSA) has announced an extension of its penalty waiver period from two to three years, following the enactment of the National Pension Scheme Regulation Number 10 of 2025.
The move comes as a relief to businesses grappling with economic hardships, particularly in the wake of the 2024 drought and energy crisis, which severely impacted cash flows and operations nationwide.
NAPSA Head of Corporate Affairs, Mr. Cephas Sinyangwe, stated that the decision was made in response to the prolonged financial strain faced by employers and contributors.
“The extension of the waiver period is intended to provide much-needed breathing space for businesses still recovering from last year’s economic shocks,” Mr. Sinyangwe explained. “We recognize the challenges many are facing, and this adjustment aims to ease compliance burdens while ensuring continued participation in the pension scheme.”
The revised waiver framework also includes modifications to the tenure for different categories of waivable penalties, offering further flexibility to affected entities.
Mr. Sinyangwe further revealed that, as of April 13, 2025, NAPSA had waived a total of K1.73 billion in penalties, benefiting 7,240 applications under the penalty waiver initiative.
“This marks a key achievement in our efforts to support compliance while alleviating financial pressure on businesses,” he said. The waiver program, which began on January 8, 2024, has seen growing uptake as employers seek relief amid economic uncertainties.
NAPSA has urged eligible businesses and contributors to take advantage of the extended waiver period, emphasizing that the initiative remains a priority in fostering sustainable pension coverage.
Stakeholders are encouraged to visit NAPSA offices or the official website for further details on eligibility and application procedures.
