He said this would “entice” the traders to enroll in such schemes to safeguard their trades and future.

He stressed that most traders in the informal sector did not enroll in pension and insurance schemes because they were not cut for them.

Dr Obeng said this in an interview with the Ghana News Agency on the enrollment of informal traders on pension and insurance schemes.

He said unlike the formal sector where deductions were at source, informal traders needed flexible payment modules.

He added that some of the companies ignored traders because of perceived risk factors and inaccessibility to the informal trade market.

“When the risk team comes, they normally quote a high premium which the traders cannot afford, that is the reason why many traders are not insured,” he stressed.

Dr Obeng also called for more education and sensitisation on pension schemes for the traders.

He said most of the traders were not on pension and insurance schemes because they did not have much knowledge on them.

“There is the need for pension and insurance companies to take it upon themselves to educate the traders on their services and products to get them on board,” he added.

Dr Obeng said GUTA was signing a memorandum of understanding with Enterprise Insurance Company to insure traders.

Madam Christiana Naa Ashitey, a trader at the Central Business District, Accra Central, said most of her colleague traders did not have any idea or clue on the pensions’ investment structure.

She, however, added that she had insured her trade and was on a pension scheme introduced to him by her brother who worked with a financial institution.

Madam Gladys Asamoah, a trader at Tema Station-Accra, said she was interested in saving in a pension fund earlier but due to the challenges faced by some of her colleagues, she would prefer to save her money at the bank.

Mr Kwasi Gyan, a clothing trader, said the premium charges by some of the insurance and pension companies were too high, considering what they might be taking in future as retirement benefits.

He also called for more sensitisation and education on the various pension schemes for them to make informed decisions.