- PFRDA takes NPS straight to the shopfloor, pitching pensions as a growth enabler for MSMEs
- Cost-effective, portable and tax-efficient retirement cover for India’s 32-crore MSME workforce
- Vibrant Gujarat Regional Conference spotlights pensions as a pillar of Viksit Bharat @2047
- Reforms make NPS flexible, future-ready and attractive for employers and employees alike
- Assured payout framework in the works to boost confidence and long-term retirement security
NE BUSINESS BUREAU
RAJKOT, JAN 13
In a strong push to bring retirement security into the MSME mainstream, the Pension Fund Regulatory and Development Authority (PFRDA), in collaboration with implementation partner PwC, conducted intensive awareness sessions on the National Pension System (NPS) for Micro, Small and Medium Enterprises at the 2nd Vibrant Gujarat Regional Conference (VGRC) 2026 in Rajkot.
Held on January 11 and 12, the outreach formed part of the globally recognised Vibrant Gujarat Global Summit (VGGS) series, which has evolved since 2003 into a powerful platform for business collaboration, policy dialogue and sustainable economic growth. The regional conferences aim to unlock grassroots potential and align enterprise growth with the vision of Viksit Bharat @2047 and Viksit Gujarat @2047.
Pension Awareness Meets Enterprise Ambition
The Regional MSME Conclave, organised on January 12, placed the spotlight on financial inclusion, employee welfare and long-term security for MSMEs—India’s economic backbone. The conclave underlined the government’s focus on strengthening the MSME ecosystem, which remains the second-largest employer after agriculture.
Addressing MSME stakeholders, Mamta Rohit, Executive Director, PFRDA, made a compelling case for early and structured retirement planning, calling it a business necessity rather than a compliance burden.
She highlighted that India is ageing rapidly, with only 29 percent of the elderly currently receiving any pension, warning that without timely action, the gap between dignified ageing and financial insecurity would widen sharply.
Pointing to the scale of opportunity, she noted that the MSME sector employs over 32 crore people nationwide, with Gujarat alone accounting for 42 lakh registered MSMEs across more than 230 GIDC industrial estates and 186 MSME clusters.
Why NPS Makes Business Sense for MSMEs
Rohit emphasised that NPS is uniquely suited to MSMEs, offering a cost-effective, flexible and tax-efficient retirement solution with no minimum employee requirement and full portability across jobs and geographies.
As of January 2026, NPS and Atal Pension Yojana together manage assets worth ₹16.53 lakh crore, covering over 9.28 crore subscribers, reflecting growing trust in India’s pension architecture.
She highlighted recent reforms that make NPS more attractive than ever:
- Higher equity exposure limits
- Greater withdrawal flexibility, including removal of lock-in periods
- Extension of maximum account holding age to 85 years
- Launch of NPS Vatsalya to promote early pension planning
NPS is not just a pension product; it is a promise of dignity, stability and long-term security for India’s workforce, she said.
Voices from Industry and Global मंच
The conclave also featured insights from industry leaders and policy voices, including Ramesh Iyer of TCS Korea and Indian Chamber of Commerce Korea, Chandubhai Virani of Balaji Wafers Group, Zlata Antusheva from the Russian Federation’s trade representation in India, Anil Gupta of GIAN, SRISTI and the Honeybee Network, Mansukhbhai Prajapati of Mitticool, and Parvathi Moorthy from the National Stock Exchange—each reinforcing the need for financial resilience alongside entrepreneurial growth.
NPS on the Exhibition Floor
PFRDA also set up a dedicated stall at the Udyami Mela (Hall No. 1), where MSME owners, HR heads and employees received hands-on guidance on NPS enrollment, benefits and compliance. Officials from PFRDA, PwC and Points of Presence explained the NPS Corporate Sector Model, highlighting how it enables employers to offer structured social security with flexible employer-employee contributions.
Assured Payouts: The Next Big Confidence Booster
In a move set to further strengthen trust in NPS, PFRDA announced the formation of a high-level expert committee to develop a framework for assured pension payouts under NPS. The committee will focus on smooth transition from accumulation to payout, market-based guarantees, consumer protection, risk management and tax clarity—steps aimed at ensuring predictable and dignified retirement income.
This initiative aligns with the broader vision of Viksit Bharat 2047, where financial independence in old age becomes the norm rather than the exception.
