Kathmandu. A memorandum of understanding (MoU) has been signed between the Citizen Investment Trust (CIT) and Tamakoshi Rural Municipality of Dolakha to implement the Citizen Pension Scheme. Fund’s deputy executive director Shova Shrestha Subedi and rural municipality chair Prona Pratap KC signed the agreement on Thursday.

As per the agreement, the rural municipality will contribute Rs 500 monthly from the workers’ welfare fund and the participating workers will contribute Rs 500 per month to contribute Rs 1,000 per month.

For this, the fund will provide the necessary KYC form and personal details card free of cost for the operation of the scheme while the rural municipality will have to update the details related to the participating workers and their personal accounts. The participants will be entitled to the pension facility after attaining the age of 60 as per the Civil Pension Scheme Operation Work Procedure, 2076 BS.

In case of death or disappearance of the participant receiving pension, his/her spouse shall be provided with pension for life as received by the participant as per the prevailing provision. In case of death of both of them, the savings in the account will be given to the nearest heir.

After five years of participating in the scheme, up to 80 percent of the collected amount can be taken as loan on the recommendation of the rural municipality.