NASSAU, BAHAMAS — The government is proposing a contributory pension fund for public officers, with employees contributing three percent and the government contributing five percent, as part of broader reforms aimed at strengthening retirement security and expanding healthcare coverage, Finance Minister Michael Halkitis said during the 2026/2027 budget communication.
Halkitis said the proposed pension system will feature individual accounts and enhanced protections for workers and their families, “empowering them to plan confidently for their retirement.”
“This reform is a positive and necessary stride toward securing our financial future and providing greater peace of mind for public officers,” Halkitis said.
“By addressing the pressures of the current pension model and ensuring comprehensive coverage, we are laying the foundation for a brighter and more secure tomorrow,” he added.
The finance minister said the next steps include finalizing the legal framework and tabling a White Paper, which he said marks “another milestone in our shared journey toward progress and prosperity for all Bahamians.”
In addition to pension reform, Halkitis said the government will introduce comprehensive health insurance plans for public officers, with three plan options available based on healthcare needs and income level.
He said the government will cover “a significant portion of the cost,” depending on the plan selected by the officer.
The proposed plans will also include vision and dental benefits, survivor benefits and options for family coverage.
“Comprehensive healthcare access for all is a priority for us,” Halkitis said.
He added that further details will be provided by the Ministry of Public Service in the coming weeks.
