Côte d’Ivoire’s Association of Insurance Companies (ASA-CI) has called on the government to introduce a compulsory supplementary pension scheme for private-sector workers, citing concerns that the existing basic pension system no longer provides adequate income for retirees. The proposal was unveiled during the country’s inaugural life-insurance conference in Abidjan, highlighting both the social and economic importance of expanding the pension landscape in West Africa’s second-largest economy.
ASA-CI advocates argue that additional contributions through a supplementary pension plan would significantly boost post-retirement income, helping households maintain living standards after leaving the workforce. To encourage participation, the association has called for tax incentives and the development of new savings products tailored to the private sector. “A well-structured supplementary pension scheme can bridge the gap between limited statutory pensions and the financial needs of retirees,” ASA-CI said in a statement during the conference.
The push comes amid growing recognition that life-insurance and pension penetration in Côte d’Ivoire remains limited, despite recent industry growth. Life-insurance premiums accounted for just 0.6 percent of GDP in 2024, with total premiums reaching 266.7 billion CFA francs. The broader insurance market, including non-life products, recorded total premiums of 628 billion CFA francs. Industry officials warn that assets under management, estimated at 1,086 billion CFA francs, remain insufficient to meet household retirement needs or long-term investment demand.
President of ASA-CI, Mamadou GK Kone, emphasised that a supportive regulatory framework would enable the insurance sector to play a greater role in mobilising domestic savings and financing economic growth. He highlighted that expanding pension coverage through private-sector schemes could provide a steady pool of long-term capital, which could be deployed in infrastructure, housing, and other strategic sectors. “Insurance and pensions are not just social protection tools. They are vital instruments for national development, providing reliable funding for productive investments,” Kone said.
Economists note that a compulsory supplementary pension system could have significant macroeconomic implications. By channeling more savings into regulated financial institutions, the scheme would enhance capital market depth, increase domestic investment, and reduce reliance on foreign financing for development projects. Additionally, improved retirement security could support consumer confidence, increase household consumption, and contribute to broader economic stability.
The proposal also underscores a wider trend across sub-Saharan Africa, where aging populations and underdeveloped pension systems are prompting governments and industry stakeholders to explore private-sector solutions. In Côte d’Ivoire, the current basic pension system, primarily funded through social contributions, often falls short of meeting retirees’ needs, leaving many households dependent on informal family support. Introducing a supplementary scheme would help close this gap and reduce long-term financial vulnerability.
Industry experts emphasise that achieving meaningful impact will require careful design, including clear contribution rules, risk-sharing mechanisms, and regulatory oversight to ensure fund sustainability. Education and awareness campaigns will also be essential to increase participation among private-sector employees, many of whom are unfamiliar with life-insurance and pension products.
In conclusion, ASA-CI’s call for a compulsory supplementary pension scheme reflects both a social imperative and an economic opportunity for Côte d’Ivoire. By boosting post-retirement income, mobilising long-term savings, and strengthening the insurance sector’s role in financing the economy, such a scheme could provide retirees with greater financial security while supporting sustainable economic growth. With the right regulatory framework and stakeholder engagement, the initiative has the potential to transform the country’s pension landscape and reinforce its financial sector as a driver of development.
