The state of social security frameworks is typically a function of a country’s environment as much as a response to it. While Africa proves no exception to trends of universally ageing populations, the continent still has a young population compared to the rest of the world. Uganda for example has a median age of 15 years, and also the youngest population in the world, with Uganda at the lower end, to 40 years of age or more in several European countries and Japan (CIA, 2013). There are a number of factors driving this demographic trend, amongst them higher than average population growth on the continent and an increase in life expectancy. Over time, a combination of these factors is expected to increase not only the percentage of the labour market population in Africa, but also the number of years spent in retirement, creating greater demand for increased coverage and adequate pension provision. The combination of increased life expectancy and working age population is likely to lend strong support to growth in pension fund assets on the continent.
Population growth in Africa is currently more than double that of the world
Working age population in Africa will increase, as will the number of years spent in retirement