Rwanda
Ministerial Order determining Modalities of granting Long-Term Savings Scheme Benefits
Ministerial Order 1-TC18 of 2018
- Published in Official Gazette 50 on 10 December 2018
- Assented to on 5 December 2018
- Commenced on 10 December 2018
- [This is the version of this document from 10 December 2018.]
Article One – Purpose of this Order
This Order determines modalities for granting benefits to a member of long-term savings scheme referred to as a “member”, in the following provisions.Article 2 – Definition of the term “administrator”
For purposes of this Order, “administrator” means a public institution authorized to manage the long-term savings scheme and perform administrative services related to that scheme.Article 3 – Modalities of granting benefits to a member aged at least fifty-five (55) years
Where the amount saved by a member aged at least fifty-five (55) years and related interest amount to or have exceeded four million (4,000,000) Rwandan francs, the member is entitled to an allowance equal to twenty-five percent (25%) of the total amount. The remaining amount is paid monthly over a period of twenty (20) years. The monthly allowance is indexed to inflation.Where the amount saved by a member aged at least fifty-five (55) years and related interest are less than four million (4,000,000) Rwandan francs, the member may opt for a lump-sum allowance equal to the full accumulated savings plus interest or installment payments of his or her choice.Article 4 – Modalities of granting benefits to a member with disability or illness
A member who becomes permanently disabled or suffers from a terminal illness before or at the age of fifty-five (55) years may opt for a lump-sum allowance of the full accumulated savings and related interest or installment payments of his or her choice.A member aged fifty-five (55) years and above who becomes permanently disabled or suffers from a terminal illness may choose to get a lump-sum allowance equal to the full accumulated savings and interest.The permanent disability or the terminal illness referred to under Paragraphs One and 2 of this Article are certified by a qualified medical doctor.Article 5 – Modalities of granting benefits to a non-national member who permanently leaves the territory of Rwanda
A non-national member who permanently leaves Rwanda has a right to withdraw the accumulated balance from his or her long-term savings account as a lump-sum allowance.The applicant for the lump-sum allowance referred to in Paragraph One of this Article must provide the administrator with all documents necessary to prove his or her permanent emigration.Article 6 – Modalities of granting benefits to a member for housing or education
A member is entitled to a lump-sum allowance equivalent to forty percent (40%) of his or her accumulated savings and related interest for housing or education, provided that the remaining amount is not less than four million (4,000,000) Rwandan Francs.The lump-sum allowance for housing or education mentioned in Paragraph One of this Article is allocated once in five (5) years and cannot be granted alongside the loan security mentioned in Article 7 of this Order.Article 7 – Modalities of granting benefits as loan guarantee
A member is allowed to give forty percent (40%) of his or her savings and related interests as a loan security, provided that the remaining amount is not less than four million (4,000,000) Rwandan Francs.Article 8 – Modalities of granting benefits to heirs of a member
The heirs of a member who died at least at the age of fifty-five (55) years have a right to choose to be given the savings and related interests of the deceased member as a lump-sum or in installments on a monthly basis.The heirs of a member who dies before the age of fifty-five (55) years are entitled to a lump-sum allowance equal to the accumulated saving of the deceased member.Article 9 – Payment of benefits for a member
Benefits under the long-term savings scheme mentioned in this Order are paid directly to the beneficiary’s bank account or digital account in accordance with information the applicant submitted to the administrator.Article 10 – Repealing provision
All prior provisions contrary to this Order are repealed.Article 11 – Commencement
This Order comes into force on the date of its publication in the Official Gazette of the Republic of Rwanda.History of this document
10 December 2018 this version
Commenced
05 December 2018
Assented to