Public institutions are overwhelmingly responsible for a staggering Sh66.41 billion in unremitted pension contributions as of December 31, 2025, highlighting significant strain on Kenya’s retirement benefits sector.

• Public sector schemes owe 93 percent, totaling Sh61.8 billion, of the overall pension arrears.
• The Retirement Benefits Authority (RBA) reported that education institutions (largely public universities) and county governments are the biggest defaulters, with arrears of Sh30.24 billion and Sh20.42 billion respectively.
• Concerns are mounting over fiscal discipline and the impact on workers’ retirement security due to this persistent compliance gap in taxpayer-funded entities.