HARIBA | The National Social Security Authority (NSSA) has adopted partial pay-outs in US dollars in an effort to protect Zimbabwean pensions from the nation’s raging inflation.
Pensioners in Zimbabwe are paid in local currency, which is constantly falling in value and degrading incomes.
Recently, prices for products and services skyrocketed, causing the government to ostensibly allow inexpensive imports to offset the rises.
Pensioners, who depend on the payouts for their primary source of income in their post-employment years, are among those who have been most impacted by the increase.
In a notice, NSSA said it has introduced foreign currency payments with disbursements set to commence in June this year.
“Beneficiaries will receive a portion of their monthly pension in US dollars for the month of June 2023,” said the government entity.
“Beneficiaries with Econet lines will have the choice of using the USD component through Ecocash, or their usual bank accounts.”
NSSA added that modalities for incorporating other mobile money service providers are currently underway.
In addition to their demands for US-based salaries, pensioners have complained over low payments with the lowest-paid pensioners reportedly receiving an equivalent of US$35 per month.