Modelling the growth of Pension Funds: Using generalized linear model: Gamma Regression

The current demographic shift of the Kenya ageing population, stress an increasing demand for pension schemes in all employment sectors. Unlike Kenya all over the world there have been pension reforms to arrest this population trend since it threatens the sustainability of the country?s economy. The laws currently governing the pension industry do not encourage mandatory setting up of pension scheme by registered companies, small-scale enterprises and any other organisation in Kenya. Currently we have very many company and registered organisation that do not have retirement benefits plan or any other old age saving for the current employed workforce. This creates a risk of having future old age population that is dependant to the working population. For the purpose of this research I am cross examining at the various types of pension scheme in Kenya particularly the private pension scheme and the growth of the pension funds over a given period. Furthermore, this research project also examines the current private sector employee and expected future growth modelled based on generalized linear model.