1.What is KNEST

Kenya National Entrepreneurs Savings Trust (KNEST) is a unique national informal sector pension scheme established by the Government to meet the unique needs of the more than 18 million marginalized informal sector workers. The scheme has deployed low-cost modern technologies to catalyze a sustainable business model that manages intermittent micro contributions to meet both long-term (pensions demands) and pressing short-term needs that are unique to this sector. The scheme is duly registered by RBA with certificate Reg. No. 0174

2.Who is the Sponsor of KNEST?

The Government of Kenya, through the National Treasury is the Sponsor of KNEST.

3.What are the Objectives of KNEST?

a.Extend Pension coverage to the more than 18 million marginalized Informal sector workers

b.Offer a dignified livelihood in retirement

c.Inculcate a savings culture

d.Enhance financial inclusion for economic development

e.Drive financial awareness through targeted financial education campaigns

4.How is KNEST Product Designed

KNEST product is designed to offer multiple benefits to members by combining the advantages of long-term pension savings with short term savings to meet to pressing short term financial needs. The scheme provides stable and predictable returns on members’ savings and a member can easily save for their pension by setting a target and working towards achieving it. The scheme offers easy to navigate customer channels through which the savings can be made.

The savings are automatically split into long-term and Short-term savings in the ratio of 70:30 respectively. This product also provides an incentive structure in which the Government matches the long term savings in the ratio of 2:1 up to a maximum of Ksh. 6,000 per member. The long-term funds are invested in Government bonds and bills while the short-term savings are invested in the money market securities to earn a stable return for members

5. What is the Relationship Between KNEST and Financial Inclusion Fund (Hustler Fund)

KNEST is a strategic partner of the Financial Inclusion (Hustler) Fund. The long-term savings (pensions) component of the 5% that is withheld by financial Inclusion Fund is invested for members by KNEST in a segregated account.

6. Who is eligible to become a member of KNEST

Any natural person who is resident in Kenya and has reached at least eighteen (18) years of age.

7. How much savings should one make on a daily basis?

(1) Each Member shall in each Contribution Year contribute a minimum sum of Kenya Shillings 50/- per day. However, a member is free to choose the frequency of contribution based on the individual’s set target.

(2) Contributions by, or for the benefit of a Member shall be remitted electronically through the USSD channels, the mobile app and the web portal (except in special circumstances to be determined by the Trustee on a case basis)

8. When and how can I check my KNEST balance?

You can check your KNEST balance any time wherever you are through the following channels: a)USSD provided by your Mobile Network Provider or KNEST USSD Code b)KNEST APP c)E-Citizen d)KNEST Web Portal.

9.When can I access my long-term savings?

AYou can access long-Term savings (pension) at Early Withdrawal Date. Early Withdrawal Date" means the fiftieth (50th) birthday of a member where the exact date of birth is known and where it is not known the first day of the month in the year in which his birthday is deemed by the Sponsor to occur.

10.When can l access my short-term savings?

Short term savings may be accessed any time after a specified period of time as may be guided by the trustee from time to time.

11.How can I access my balance?

Access to funds is subject to terms and conditions attached to the type of funds i.e short term or long term savings. Once funds are cleared for withdrawal, a member or beneficiary can use any of the following platforms: the KNEST USSD Code or KNEST Mobile App.

12.How is KNEST related to Financial Inclusion Fund?

The long-term savings (pensions) component of the 5% that is withheld by financial Inclusion Fund will be invested for members by KNEST in a segregated account. KNEST PLC which a body corporate established in the Republic of Kenya under the Companies Act Cap 486 of the Laws of the Republic is the Trust corporation that provides trusteeship to KNEST pension scheme. KNEST PLC is expected to sign a memorandum of service level with the Financial Inclusion Fund which is a Fund created under section 24 of the Public Finance Management Act 2012 for KNEST to manage the long-term savings component of the Financial Inclusion Fund.

13.Where does KNEST invest the Members Contributions? KNEST invests members contributions solely in Government securities.

14.Does KNEST guarantee returns on savings?

Since KNEST invests primarily in Governments securities, offers predictable and competitive returns to investments.

15.What is the return on KNEST savings?

The return to investment is market driven

16.Can I be able to monitor my savings using KNEST technology channels?

Yes. By accessing any of the channels: USSD, Web Portal or the KNEST App.

17.Who is a beneficiary of KNEST?

An eligible member of the scheme who contributes towards the scheme and all the nominated beneficiaries.

18.What benefits do I stand to get if I join?

•You get the opportunity to save for a comfortable retirement in an easy, affordable and convenient way.

•You will not pay any penalties in case you fail to make your contributions.

•Your savings will grow as they will be invested carefully prudently to ensure they earn the best possible return while still remaining secure.

•You benefit from tax relief as long as you are a member of KNEST pension scheme.

•When you withdraw early from the plan, you get back your accumulated contributions plus interest.

•When you retire, you get back the accumulated contributions plus interest paid to yourself or your nominee beneficiaries. •You get the chance to learn a lot about savings, financial well-being and retirement planning from regular education and training offered to all members in collaboration with service providers. •You get to track your savings as you can access a member statement once indicating how much contributions you have made and the interest earned.

19.What is the role of a Fund Manager? To invest the schemes funds as per rules and regulations of the scheme

20.What is the role of a Fund Custodian? Keep custody of scheme funds

21.What is the role of a Fund Administrator? Keep records of the scheme

22. What channels are provided to access the KNEST scheme? USSD, Web Portal and KNEST App

23.What is the role of KNEST secretariat?

To execute Trustee decisions and ensure implementation of Trustee resolutions

24. What is the role of KNEST Trustees?

To manage the KNEST pension scheme

25.What is the role of National Treasury?

National Treasury is the Sponsor of KNEST on behalf of the Government of Kenya

26. Is KNEST regulated by Retirement Benefits Act?

Yes. KNEST is registered by RBA on 4th February 2022 under License Certificate No. 01742 27.How is KNEST scheme different from other schemes in Kenya?

KNEST is designed to specifically meet the unique and heterogeneous needs of the Informal sector worker. The long-term account is invested as per the Retirement Benefits Act and Regulations to meet the old age needs of the member when s/he is unable to work are while the short-term account funds that cushions members against short term economic shocks

For more Information Visit:https://knest.go.ke/en/