NAPSA reportedly waives K1.73 billion in penalties since January 2024, extends implementation period to three years

The National Pension Scheme Authority (NAPSA) has reportedly waived K1.73 billion in penalties, benefiting 7,240 applicants as of April 13, 2025, under its penalty waiver initiative launched in January 2024.

NAPSA Head of Corporate Affairs, Cephas Sinyangwe, announced an extension of the waiver period from two to three years, following the issuance of the National Pension Scheme (Penalty Waiver) (Amendment) Regulations No. 10 of 2025.

The new regulations, approved by Labour and Social Security Minister, Brenda Tambatamba, included adjustments to penalty waiver categories.

The 75 percent waiver for penalties incurred before December 6, 2022, will now extend until January 2026, while the 60% waiver period will run from January 2026 to January 2027.

Additionally, the 100 percent waiver for penalties incurred during the COVID-19 period (March 14, 2020 – September 8, 2022) will be extended to January 2026, with the 75 percent waiver period running from January 2026 to January 2027.

Sinyangwe emphasized that the extension was a response to economic challenges, including the 2024 drought and energy crisis, which strained businesses’ cash flows.

He urged employers to take advantage of the extended waiver, which aimed to ease financial pressures and encourage compliance with pension contributions.

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