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The government has planned to roll out the much-talked-about universal pension scheme in FY2023-24 as part of it’s inclusive development strategy.
Finance Minister AHM Mustafa Kamal said this in his budget speech on Thursday, adding that, “A pension authority will be established very soon and will be activated through appointment of necessary manpower.”
He also said work for the system has already progressed substantially.
Under the proposed scheme, a beneficiary can enjoy pension benefits subject to the payment of subscription up to the age of 60 years if s/he enrolls at the age between 18 to 50 years, whereas those who enroll when their age is more than 50 years have to pay subscription for a minimum of 10 years.
The expatriate Bangladeshis will be able to participate in this scheme.
If the pensioner dies before attaining the age of 75 years while on pension, the nominee of the pensioner will be entitled to the pension for the remaining period of the pensioner's completion of 75 years.
If the subscriber dies before paying the subscription for at least 10 years, the deposited money will be returned to the nominee along with the profit.
A maximum of 50 per cent of the deposited amount can be withdrawn as loan by the subscriber by submitting an application.
Contributions to the pension fund will be treated as investment and tax rebate can be availed against it. Besides, the amount received as a monthly pension will be exempted from income tax.