President William Ruto has defended the government's push for higher National Social Security Fund (NSSF) contributions, insisting that increased savings are critical to strengthening Kenya's economy.

🇰🇪 Breaking It Down

Speaking on Saturday, June 13, in Kakamega, the Head of State said the government has agreed with employees through their representatives to save more by contributing 6 per cent of their monthly wages.

“I urged those who are employed and those in the formal sector that, as a country, we should have more savings," Ruto said during the launch of Shirikiana Sacco in Kakamega.

"For that reason, we have agreed that every employee will pay 6 per cent of their salary and the employer will match it with another 6 per cent. All that money is for that employee,” he added.

📌 What You Need to Know

The President noted that the reforms within NSSF have significantly boosted the fund's savings, revealing that NSSF assets have grown from Ksh312 billion to Ksh670 billion within two years.

According to Ruto, the country is on course to further increase the savings pool, arguing that strong national savings are essential for economic growth and long-term financial stability.

“By 2027, we will have hit Ksh1 trillion in NSSF savings, and that is how to build the foundation of a country’s economy,” he stated.

Ruto's remarks come amid an ongoing debate over NSSF deductions following a Court of Appeal ruling dismissing an application to suspend a judgment declaring the NSSF Act, 2013, unconstitutional.

Despite the ruling delivered on May 29, 2026, NSSF directed employers to continue deducting and remitting contributions at the current enhanced rates.

In a statement issued on June 5, the Fund maintained that the ongoing court proceedings do not affect the contribution rates currently being remitted by employers and employees.

📰 Source: Kenyans.co.ke