Octagon Africa, Alexforbes partner to expand retirement savings for MSMEs
Enterprise
By
Japheth Makau
| Oct 07, 2025
In a move set to transform Kenya's retirement landscape, Octagon Africa has partnered with South Africa-based financial giant Alexforbes to launch an affordable retirement savings solution targeting the country's micro, small, and medium-sized enterprises (MSMEs).
The partnership aims to bridge one of the biggest gaps in Kenya's financial system - the exclusion of millions of workers in smaller businesses from formal retirement schemes.
Through the Octagon Umbrella Retirement Benefits Scheme, enterprises with as few as three employees can now offer their teams affordable retirement savings options bundled with group life and medical cover. The scheme is designed to be cost-effective, flexible, and easy to manage through digital platforms that enhance transparency and simplify compliance.
"We are giving MSMEs the tools to protect their employees while boosting retention, productivity, and long-term financial security," said Fred Waswa, Group CEO of Octagon Africa. "These businesses are the backbone of our economy, yet most lack access to retirement solutions. With Alexforbes, we are changing that reality."
Waswa noted that many smaller firms struggle to set up their own retirement schemes due to high administrative costs and complex compliance requirements. The umbrella scheme, he said, eliminates these challenges by handling legal and regulatory obligations, allowing employers to join with ease.
"Financial security should not be a privilege reserved for large companies; it is a right for every worker," he added.
Octagon Africa will also provide financial literacy and advisory services to support both employers and employees in making informed financial decisions throughout their careers.
Craig Bentley, Chief Commercial Officer of Alexforbes Growth Markets, said the partnership brings together global experience and local expertise to create sustainable financial solutions for Kenya's growing SME sector.
"Through this scheme, we are combining global expertise with local insight. Together, we are delivering retirement solutions that are practical for small businesses, empowering for employees, and sustainable for the economy," Bentley said. "Financial wellbeing should not be a privilege for the few - it must be accessible to all."
Kenya's MSME sector employs about 15 million people, representing nearly 80 percent of the workforce. However, the majority of these workers operate without any structured retirement plan - a gap that Octagon Africa and Alexforbes now seek to fill.
Industry observers say the initiative could help drive greater financial inclusion, reduce poverty among retirees, and strengthen the country's long-term savings culture.