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National Pension Commission (PenCom) has revealed that it recorded N21.92 trillion as total pension fund assets in October.
The amount represents an increase of N1.13 trillion compared to N20.79 trillion recorded in July.
Acting director-general (DG) of PenCom, Omolola Oloworaran made the revelation while speaking at a media conference themed ‘Tech-Driven Transformation: Shaping the Pension Landscape’ in Abuja on Thursday.
According to Oloworaran; as of October 2024, the contributory pension scheme (CPS) reached 10.53 million registered contributors.
The DG noted that the achievement reflects the commission’s unwavering commitment to fund safety, prudent management, and sustainable growth.
Oloworaran however said the economic realities of 2024 and preceding years present unique challenges.
She said, “High inflation, the devaluation of the Naira, and the lingering effects of unorthodox monetary policies have eroded the real value of pension funds, impacting contributors’ purchasing power.”
“To address these challenges, PenCom has initiated a comprehensive review of the investment regulations, focusing on diversifying pension fund investments into inflation-protected instruments, alternative assets, and foreign-currency-denominated investments.”
“Our goal is to safeguard contributors’ savings and ensure resilience against future economic volatility.”
Speaking on plans to improve PenCom’s services, Oloworaran said the commission revamped its micro pension plan and leveraged technology to incentivise informal sector participation.
The DG added that as a result, the move has made it easier for everyday Nigerians to save for retirement.
She continued, “This initiative aligns with our vision of inclusive growth and financial security for all.”
“We are also addressing delays in retirement benefit payments to retirees of federal government treasury-funded MDAs.”
“Recently, N44 billion was released under the 2024 budget appropriations to settle accrued pension rights for retirees from March to September 2023.”
“Moving forward, we are working with the federal government to institutionalize a sustainable solution, ensuring retirees receive their benefits promptly and without undue stress.”
She also said PenCom is harnessing technology for enhanced pension administration.
“By leveraging innovation, we aim to transform service delivery, improve transparency, and drive efficiency across the pension industry,” Oloworaran said.
Oloworaran also said the commission launched an e-application portal for pension clearance certificates (PCC) in October.
The DG noted that companies can seamlessly apply for and receive PCCs online, adding that 38,528 PCCs have been issued so far, thereby enhancing the ease of doing business and ensuring compliance.
She added, “Additionally, the Pension Industry Shared Service Initiative is in advanced stages of implementation.”
“This initiative will digitize pension contributions and remittances, ensuring seamless processing of Retirement Savings Account contributions and resolving discrepancies caused by incomplete remittance details.”
Oloworaran said to further enhance contributors’ experiences, PenCom introduced a revised programmed withdrawal template, simplifying access to voluntary contributions and revising the threshold for en-bloc payments in line with the new minimum wage.
She noted that this would go a long way to make retirement processes more efficient and user-centric.
