NBC Gold Plan Solution

The product is geared at ensuring the financial inclusion of the informal sector and as such designed the short term specific needs and long term retirement goals of members within the informal sector of Ghana.  

The NBC Gold Plan is a pension product with an embedded insurance cover to insure the member against unforeseen circumstances. The pension plan has two mandatory account (Savings account & Retirement account) set-up for the informal sector; a funeral cover and health plan cover to bridge the financial exclusion gap among such category of individuals/members.

The NBC Gold Plan was developed on the premise of financial inclusion and as such the adoption of the mobile money service platform to increase participation and bridge the financial gap due to the strong demand for mobile financial service within the current market of operation. 

The Ghana Country Director of the World Bank, Henry Kerali noted that the Bank’s analysis indicates that the Social Security and National Insurance Trust (SSNIT) is currently spending about 1 per cent of GDP on providing pensions, which support about 0.4 per cent of the population. He further stated that 20 per cent of Ghana’s population will in the future need old age support requiring higher expenditure in social security. As such the need for Government to “develop smarter and sound pensions system that is affordable for the economy and protects the elderly,” he said.

NBC Ghana Trust in response to the World Bank report and the market needs designed the NBC Gold Plan solution which offers not just its core product of pension but other social welfare (Insurance cover & Savings plan) needs of the average Ghanaian worker. Thus reducing the over reliance on family dependents.

The solution is targeted at the informal sector worker to alleviate the retirement burden on their family (nuclear and extended) and the society as a whole by providing a cut-fit solution which addresses their current needs (Savings plan)  and future need (Retirement and Insurance plan). 

Through Internal data analysis of customers payment history and organized seminars, NBC Ghana Trust is able to collate information on specific needs of workers. Member education forums organized bi-annually by NBC Ghana Trust helps to interact with individuals/workers on solution update and to gather clients insight for product design.

The ideas for the product was to consist of the under listed ;

• Provide a life insurance cover for members under the plan.
• cater for the long term retirement needs of members and short term special needs of members.
• Offer the opportunity to members to access loan facility with a preferred mortgage finance company.
• Member's  opportunity to obtain personal loans from the bank.
• Integrate a mobile money service platform with interoperable features.
• A monthly contribution amount based on the minimum daily wage (Ghs 11.82) of the Ghanaian.

1. The Gold Plan provides an attractive package by allowing the contributor in the informal sector to combine insured death, disability and funeral benefits together with a retirement account (75%) – whilst still achieving the economies of scale which ensure a maximum allocation of contributions to members' savings account (25%). 
2. The plan is also embedded with an risk benefits to insure the contributor and their elected dependents against unforeseen situations. The set-up of the product as a master trust scheme operating on a mobile service platform enables the scheme to absorb members risk  thus reducing their monthly insurance premiums. 
3. The platform allows for 3rd party fintech and technology companies (MNOs) to connect with G-money seamlessly. Thus offering the opportunity to extend the plan beyond the shores of Ghana virtually regardless of location and currency denomination.

The “G-money” platform offered by our partners in response to market needs and the product design is to facilitate the transfer of funds from one account (bank account or mobile wallet) into the schemes account which is set-up with a Bank (Deposit Holder/Custodian).

The G-money is a mobile money service platform that offers the following benefits;

• There are limit to transaction amounts to combat the financing of terrorism on the G-Money platform.
• G-Money is interoperable to allow the informal worker make payment across different payment systems (MNO payment system & Banks) into the scheme account.
• E-Values maintained on the wallet attract interest which is paid every quarter.
• Two mobile money numbers can be registered thus allowing for joint funding towards product plan.
• There are no service maintenance fee.
• G-Money service can be used outside the borders of Ghana.
• The platform allows for 3rd party fintech and technology companies (MNOs) to connect with G-money seamlessly. Thus offering the opportunity to extend the plan beyond the shores of Ghana virtually regardless of location and currency denomination.
• Set-up on any network thus removing any barriers to financial inclusion of the informal worker.
• You can add as many as 200 people to your group. However three (3) distinct members of the group will be assigned group head, authorizer and member.

Having marked a decade of rich experience in the Ghanaian pension market, and several years within diverse pension markets across the African continent, the Gold Plan Investment Philosophy for the plan is premised on providing the informal worker/contributor with secure and adequate funds post-retirement, to enable the contributor/member enjoy a decent standard of living after retirement. 

Security and sustainable long term are key investment objective of the plan so as to maximize returns on contributions (Savings account–25%) whilst providing a guarantee on member’s accumulated fund (retirement account–75%). 

The G-Money platform allows for 3rd party fintech and technology companies (MNOs) to connect with G-money seamlessly. Thus offering the opportunity to extend the plan beyond the shores of Ghana virtually regardless of location and currency denomination.

Again the G-Money platform is interoperable to allow the informal worker make payment across different payment systems (MNO payment system & Banks) into the scheme account from varied location. However, operating on mobile network outside will attract some additional cost to the member due to roaming changes. Nonetheless, the solution can be linked to networks and banks in other countries to avoid roaming charges.

The G-Money platform is interoperable to allow the informal worker make payment across different payment systems (MNO payment system & Banks) into the scheme account from varied location.

The G-money is based on the simple USSD platform which does not require any attitudinal change or skill change to use. The language is simple and basic in French and English for easy comprehension.

The G-Money, an openAPI  platform is interoperable to allow the informal worker make payment across different payment systems (MNO payment system & Banks) into the scheme account from varied location.

1. The G-money is based on the simple USSD platform which does not require any attitudinal change or skill change to use. The language is simple and basic in French and English for easy comprehension.
2. The G-Money USSDs platform can communicate with the service provider when there is no internet connection and even when a user doesn’t have mobile network credit.

The solution is currently serving 109 individuals.

The solution is expected triple that figure to 218 by the end of the year.

In the next five years we should be serving about 150,000 existing client and 700,000 prospective clients based on the actuarial evaluation of the economy.

Our goal is to be the ideal product plan for the west African worker with the benefits cut-fit for each market to help improve standard of living and reduce retirement dependency.

Currently, the barriers would be the different market dynamics of each west African country. The aim is to design tailor-fit product rather than a one fit product to ensure product acceptability and suitability. This in effect will increase financial spend on market research in several countries targeted for entry.

The aim is to adopt a universal approach with regards to our product offering when entering into a new market operation. This is to provide awareness whilst we build local capacity through research to provide benefits suited for the specific market.

Full Time staff - 6

Having marked a decade of rich experience in the Ghanaian pension market, NBC Ghana Trust is adequately resourced, with the skills, professional experience and expertise required to service the most demanding clients in the pensions industry across the west African Region. The staff complement comprises more than 20 professionally qualified staff including actuarial consultants, retirement fund administrators, chartered accountants, employee benefits consultant, seasoned marketers and IT professionals who bring on board their diverse expertise in the various fields in building the corporate mission and vision.

Our Pro-active culture has culminated into a Pro-active Team that have successfully pioneered new products and services, and have set the benchmark by which our competitors measure themselves within the Ghanaian pension market. It is this pro-active approach that the founder instilled in the ethos of its staff, and the very reason why our clients are satisfied with our services and have happily grown with us.

In considering partners for this project, the NBC Ghana Trust, decided to leverage on it’s already existing   partners as a result of our partners brand exposure and experience in their various fields as well as the mutual benefit both parties seek to gain. In addition accessibility, innovation, security and convenience was also a main factor in the selection criteria of our partners. In line with this, NBC Ghana Trust chose to partner with Prudential Life Ghana, Fidelity Securities, and GCB Bank. Prudential Life offers the NBC Ghana Trust the opportunity to leverage on its life insurance package, whereas GCB Bank provides our customers with a mobile and electronic payment platform. This platform allows our target customers virtual access to our scheme irrespective of their location and facilitates contributory payment towards the scheme. Fidelity Securities offers the NBC Ghana Trust and customers its expertise in investment placement to guarantee safety of members fund and returns. 

We believe in a pro-active rather than a re-active approach that ensures financial protection for the Fund and the contributors, whilst providing valued and secure benefits for members. We do not develop standard “packaged solutions”. Each client is treated individually and advised according to specific needs. By using our experience of the market, our innovative people and clearly defined procedures we are able to suggest solutions appropriate to those needs. 

We place considerable importance on learning about your needs and concerns with the aim of helping members  establish financial objectives and solutions  that reinforce their  overall financial objectives and meet their needs.

It is on this basis, that the NBC Ghana Gold plan does not only provide  a regular  pension scheme, but a savings and an insurance package through our strategic alliance and partnership with our project partners. Particularly leveraging  on the influence of mobile phones subscription  and its associated services  in providing accessible and convenient payment platform services  for our customers. 

The regulatory framework of the pension industry defines our strategy and segments  our target markets. NBC Ghana Trust rigs in profit through the advertisement of its products and services both  on line and off line . In this regard, the scheme profit is realized on investment  returns  accrued on member returns annually at a ceiling of 2.50. 

In regard to the above, the  size of the scheme and higher investments returns ensures revenue for NBC Ghana Trust, In effect  the sustainability of the gold plan.

The NBC Ghana Trust as a corporate institution invested funds into the product solution. Currently the only institution we are seeking for funds is in regard to this challenge.

Since the product solution is set up on a master trust scheme model it happens to be self  sustaining once the scheme increases in membership size. Thus our effort is to promote awareness of the product.

The scheme has estimated an expense of $43025.00 for the year 2020. 60% of this fund is to aid with marketing; and auditing expense of the scheme in line with regulatory compliance ( The Ghana Pension Act, 766).

About 80% of Ghanaian workers are engaged in the private sector with a few having a retirement plan. A majority of workers within the informal sector do not have a retirement plan or the financial capability to have access to an insurance cover of their own. This is not  only prevalent in Ghana but in other neighboring countries due to their unstable economic conditions. 

It is to this regard, that NBC submits its Gold plan solution, which focuses on leveraging on  mobile phone subscriptions and its associated services in providing not just a pension scheme but an additional benefit package which includes a savings and an insurance plan. As a way of giving value to their contributory payment;  improving upon their livelihoods on retirement and reducing their dependency on family and society as a whole. 

 NBC Ghana Trust chose to partner with Prudential Life Ghana, Fidelity Securities, and GCB Bank. Prudential Life offers the NBC Ghana Trust the opportunity to leverage on its life insurance package, whereas GCB Bank provides our customers with a mobile and electronic payment platform and Fidelity Securities offers  its expertise in investment placement.

In conclusion the partnership goals  was to provide an inexpensive mobile money platform for payment transactions; a reputable fund manager to maximize returns and guarantee safety of funds;  and to provide an affordable insurance cover for informal sector workers in diverse fields .

NBC Ghana Trust, desires to partner the Ant financial firm, a leading fintech group investment firm in China, in the use of its  technological  infrastructure  in providing mobile pension services to our clients in addition to facilitating contributory payments towards the scheme, in rural areas of the  African continent from one central administrative location.