ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has approved new annuity products aimed at providing stable income for individuals after retirement.
The SECP stated that the new financial products will allow employees and retirees to convert their accumulated savings into a regular monthly income stream, helping ensure financial stability during retirement.
The newly approved products include life contingent annuities, deferred annuities, and guaranteed payment annuities. SECP said hybrid annuity schemes will also be introduced to provide both lifetime income and guaranteed payouts to policyholders.
The regulator noted that the new annuity options will help address financial challenges caused by rising life expectancy and inflation, which have increased the need for sustainable retirement income solutions.
SECP added that the annuity products will be available under both conventional insurance and Islamic takaful frameworks, allowing wider access for consumers.
