Godawari Municipality & CIT Partner for Secure Citizen Pension Scheme in Nepal
13th May 2025, Kathmandu
Godawari Municipality has partnered with the Citizen Investment Trust (CIT) to introduce the Citizen Pension Scheme. The program aims to support teachers and municipal staff with a secure retirement plan. A formal agreement was signed between both parties to launch the scheme.
Godawari Municipality CIT Partner
Monthly Contribution for Long-Term Benefit
Under the agreement, each participating staff member will contribute NPR 500 from their monthly salary. The Municipality will add another NPR 500 from the Teachers and Employees Welfare Fund. This brings the total monthly contribution per person to NPR 1,000.
The collected amount will be deposited into the pension fund. CIT will manage the fund. When staff members turn 60 years old, they will receive either a lump sum or monthly pension payments, depending on their savings.
Agreement Signing and Stakeholder Involvement
The agreement was signed by Birendra Bhatt, Mayor of Godawari Municipality, and Parbat Kumar Karki, Executive Director of the Citizen Investment Trust. Both parties expressed a strong commitment to employee welfare and sustainable social security programs.
Mayor Bhatt emphasized the importance of financial planning for staff. He stated that the scheme will provide long-term benefits and security. Similarly, Executive Director Karki highlighted the value of saving during working years to ensure a dignified retirement.
Promoting a Saving Culture in Local Government
The scheme encourages a culture of saving among municipal employees. Regular contributions will help build a stable financial base for their future. The initiative also reduces the burden on the government by involving both employees and institutions in shared responsibility.
The program is open to all teachers and staff members employed by Godawari Municipality. It offers a structured savings plan and is aligned with the government’s goal of expanding social protection at the local level.
Simple, Safe, and Accessible Pension Model
The Citizen Pension Scheme is designed to be easy to access, transparent, and secure. The use of CIT as the managing body ensures professional handling of the funds. CIT has a strong track record in investment management and retirement fund administration.
Since the scheme requires only a small monthly amount, it remains affordable. Over time, the savings grow into a meaningful pension. This method makes the plan attractive and practical for employees across income levels.
Expanding Social Security Coverage in Nepal
This agreement sets an example for other municipalities in Nepal. It shows how local governments can create effective welfare systems without relying entirely on central policies. By working with CIT, local units gain access to proven financial tools.
It also supports Nepal’s national agenda for increasing social security and building financial independence. The pension scheme offers long-term support, especially for those who may not have access to other retirement options.
Long-Term Vision for Employee Welfare
The Citizen Pension Scheme is not just a retirement plan. It is part of a broader vision for employee welfare, financial literacy, and institutional responsibility. Godawari Municipality’s decision to launch the program reflects a growing awareness of these needs.
Through regular savings and employer contributions, the scheme builds trust between the municipality and its workforce. Employees feel valued, and local governments demonstrate care for their human resources.
Summary of Key Points
Total Monthly Contribution: NPR 1,000 (NPR 500 from staff + NPR 500 from the municipality).
Eligibility: All teachers and municipal staff under the Godawari Municipality.
Payout: Either a lump sum or a pension after turning 60 years old.
Managing Body: Citizen Investment Trust (CIT).
Signatories: Mayor Birendra Bhatt and Executive Director Parbat Kumar Karki.
Looking Ahead
The Citizen Pension Scheme marks a positive shift in how municipalities approach retirement planning. With Godawari Municipality leading the way, other local bodies may soon follow. The initiative provides both a safety net for employees and a strong example of practical governance.
This partnership between CIT and Godawari Municipality could pave the way for the wider adoption of pension schemes across Nepal. It shows that with small monthly steps, large impacts are possible, especially when local leadership and national institutions work together.
For more: Godawari Municipality CIT Partner
