PFRDA invites Bids for System Integrator for PFRDA – TRACE

PFRDA invites Bids for System Integrator for PFRDA – TRACE

Subject: Schemes

Section: Social security

1. The Pension Fund Regulatory and Development Authority (PFRDA) has invited bids for the purpose of selection of a System Integrator (SI) for the design, development, implementation, and maintenance of PFRDA – TRACE.
2. Project Name: PFRDATRACE (Tracking Reporting Analytics & Compliance EPlatform).
3. Scope: The SI will play a crucial role in designing, developing, and maintaining the platform.
4. This initiative reflects PFRDA’s commitment to leveraging technology for effective tracking, reporting, analytics, and compliance in the management of pension funds.
5. PFRDA-TRACE is part of the Technology Architecture (TARCH) project and will serve as a comprehensive tool for submitting regulatory and supervisory compliance reports by intermediaries.
6. PFRDA-TRACE aims to facilitate the submission of regulatory and supervisory compliance reports by intermediaries, share reports and data with PFRDA, monitor functions, enable workflow for PFRDA departments, and incorporate a validation process for reports and data.
7. The selected System Integrator (SI) will be responsible for studying existing processes, proposing improved workflows, and providing services for the design, development, customization, implementation, and maintenance of PFRDA-TRACE.
8. PFRDA-TRACE represents the second phase of the TARCH project, indicating a strategic step in enhancing digital capabilities and regulatory oversight in the pension fund sector.

PFRDA (Pension Fund Regulatory and Development Authority):

1. Overview:
   • PFRDA is the regulatory body overseeing the pension sector in India – National Pension System (NPS) and Atal Pension Yojana (APY).
   • It was established by the Government of India to promote old-age income security.
   • Implementing measures to enhance pension coverage and efficiency.
2. Functions:
   • Regulation: Formulating policies and regulating pension funds.
   • Promotion: Promoting the development of the pension industry.
   • Protection: Safeguarding the interests of pension subscribers.

NPS (National Pension System):

1. Introduction:
   • NPS is a voluntary, long-term retirement savings scheme designed to enable systematic savings.
   • Launched by the Government of India.
2. Key Features:
   • Contributors: Open to all citizens, including employees from the organized and unorganized sectors.
   • Flexible Contributions: Allows individuals to contribute regularly and build a pension corpus.
   • Investment Options: Offers a range of investment choices for subscribers.
   • Portability: Portable across jobs and locations.
   • Tax Benefits: Provides tax benefits under specific sections of the Income Tax Act.
3. Structure:
   • NPS is structured into Tier I and Tier II accounts.
   • Tier I is a long-term retirement account.
   • Tier II is a voluntary savings account with liquidity features.

APY (Atal Pension Yojana):

1. Objective:
   • APY aims to provide a sustainable pension to unorganized sector workers.
   • Specifically targets individuals between the age of 18- 40 years, without access to formal pension schemes.
2. Eligibility:
   • Open to Indian citizens aged between 18 and 40 years.
3. Features:
   • Fixed Pension: Offers a fixed pension amount based on contribution and age.
   • Contributions: Contributions vary based on the chosen pension amount and age at entry.
   • Government Co-Contribution: The government provides co-contribution for eligible subscribers.
   • Guarantee: Guarantees pension benefits to the spouse in case of the subscriber’s demise.
4. Structure:
   • The scheme is administered by the PFRDA.
   • It focuses on ensuring a steady income stream for individuals in the unorganized sector during their old age.