Controversy erupts over KZN pension fund for traditional leaders

KEY partners in the government of provincial unity are at loggerheads over the decision of the Department of Cooperative Governance and Traditional Affairs (CoGTA) to offer a pension fund to traditional leaders.

- THAMI MAGUBANE

The DA and the IFP have expressed opposing views on the matter, with the DA warning that the government is not in a financial position to afford the expenditure. However, the IFP fired back, stating that the DA's warning was misguided.

CoGTA announced on Wednesday that it has reached a historic milestone wit the official approval of the KZN CoGTA Pension Fund for Amakhosi by the Financial Sector Conduct Authority (FSCA).

“This approval confirms that all regulatory requirements have been duly fulfilled, paving the way for the formal implementation of the pension fund. The initiative is being rolled out in partnership with a commercial bank, a strategic collaborator in ensuring the financial sustainability and operational integrity of the fund.

“The pension fund is designed to uphold the dignity and social standing of Amakhosi by providing a structured savings mechanism that will be accessible upon retirement. This marks a significant step in recognising the lifelong service and leadership of traditional leaders within the province,’ said the CoGTA statement.