Pension assets rise by ₦10.69trn in less than two years as 938,229 Nigerians join contributory scheme

Charles Okonji (Group Business Editor)

National Pension Commission (PenCom) has disclosed that pension industry assets under management rose from ₦20.79 trillion in July 2024 to ₦31.48 trillion in June 2026, representing an increase of ₦10.69 trillion in less than two years.

The Director-General of PenCom, Omolola Oloworaran, disclosed this at the 2026 PenCom Media Conference, themed “Reform to Reality: Renewed Hope Pension Security for Nigerians.”

She also revealed that 938,229 Nigerians joined the Contributory Pension Scheme (CPS) within the same period, describing the growth in pension assets and participation as significant developments in strengthening retirement security.

Oloworaran stressed that the funds under the commission’s supervision represent the retirement savings of Nigerian workers, who depend on them for financial security in their later years.

She assured contributors that PenCom would continue to manage the funds with competence, integrity and prudence.

A major highlight of the conference was the approval of a phased launch of a $250 million Pension Industry Infrastructure Investment Consortium, aimed at mobilising pension industry funds for infrastructure development.

According to the PenCom boss, the initiative represents the first time Nigeria’s pension industry has jointly committed its own funds to infrastructure investment.

She explained that pension fund operators would contribute $200 million as anchor investors through cash calls over 10 years, while the commission was seeking an additional $50 million from development finance institutions, with discussions ongoing.

“For the first time, Nigeria’s pension industry has jointly committed its own funds to infrastructure. The Council has endorsed the phased launch of a US$250 million Pension Industry Infrastructure Investment Consortium,” she said.

Oloworaran added that the initiative could expand as viable investment opportunities emerge, noting that the commission would prioritise rigorous project selection and the protection of contributors’ interests.

“Nigeria needs productive investment. Contributors need secure returns. We will serve both, through rigorous project selection and uncompromising protection of contributors’ interests,” she stated.

Pension Boost raises monthly payments

The PenCom DG further disclosed that the commission had implemented a pension increase for retirees under the Contributory Pension Scheme through its Pension Boost 1.0 initiative.

She said the programme raised the monthly pensions of more than 241,000 retirees, increasing total monthly pension payments from ₦12.15 billion to ₦14.83 billion.

According to her, the commission had also reviewed the pensions of retirees under the defunct Nigeria Social Insurance Trust Fund (NSITF) for the first time in 21 years.

She explained that the pensions, which had remained unchanged since 2005, were increased by 1,173 per cent following a review directed by the commission.

The review raised the combined monthly pensions of 2,116 NSITF retirees from ₦12.56 million to ₦159.95 million, while ₦8.70 billion was paid in pension arrears.

Oloworaran illustrated the impact of the review with the case of a retiree whose monthly pension increased from approximately ₦18,000 to ₦206,000.
“Twenty-one years of waiting, answered in a single decision,” she said.

FG clears inherited pension liabilities

The commission’s chief executive also disclosed that the Federal Government had cleared inherited pension liabilities through a ₦758 billion Federal Government Pension Bond approved by President Bola Tinubu.

She said payments under the initiative had reached 957,045 beneficiaries, addressing obligations that had accumulated across successive administrations, with some outstanding since 2007.

“President Tinubu approved the ₦758 billion Federal Government Pension Bond, and through it, payments have reached 957,045 beneficiaries. Nearly one million Nigerians,” she said.

Oloworaran added that accrued pension rights had been credited to the Retirement Savings Accounts of enrolled federal employees scheduled to retire up to December 2029 following a one-time verification and enrolment exercise.

She also highlighted the commission’s Zero Waiting Time policy, which enables federal retirees to begin receiving their pensions as they retire, in line with the monthly salary cycle.

She urged eligible employees and ministries, departments and agencies to complete the enrolment process before the exercise closes in December 2026.

Retirement benefits now approved within 48 hours

Oloworaran further announced that retirement benefits, which previously took up to 21 months to approve, were now being processed within 48 hours.

She described the 48-hour timeline as a mandatory service standard for every Pension Fund Administrator (PFA), rather than a target.

The DG also highlighted the introduction of the Exit Benefit Scheme, which provides an additional benefit to eligible employees of treasury-funded federal ministries, departments and agencies.

Under the scheme, eligible employees with at least 10 years of qualifying service who retire from January 1, 2026, are entitled to an additional benefit equivalent to 100 per cent of their total annual emoluments, in addition to their normal pension.

She said the first 175 retirees received approximately ₦1.1 billion under the initiative in August 2026.

PenCom targets informal sector workers
The commission is also expanding pension coverage through a national distribution network of Accredited Pension Agents, designed to bring the Personal Pension Plan to workers in the informal sector.

Oloworaran said the agents were reaching traders, artisans, farmers and transport workers in markets, motor parks, farms and workshops.

According to her, the initiative is intended to expand pension coverage while creating livelihood opportunities for accredited agents.

She described the programme as an important step towards ensuring that more Nigerians, including those outside formal employment, could save towards retirement.

PenCare, Minimum Pension Guarantee to launch

Looking ahead, the PenCom DG announced plans to introduce two major initiatives during National Pension Week in October 2026: PenCare, a retiree healthcare programme, and the Minimum Pension Guarantee.

She said PenCare would initially provide 30,000 eligible low-income retirees with access to essential healthcare at no cost to them.

“No Nigerian should retire into poverty, and no Nigerian should retire into ill health,” she said.

The second initiative, the Minimum Pension Guarantee, is designed to establish a minimum level of protection for eligible retirees under the Contributory Pension Scheme.

Oloworaran described the proposed guarantee as a significant step towards protecting retirees with limited pension savings from falling below the stipulated minimum level of retirement income.

“For the retiree with the smallest savings, that floor is the difference between hardship and dignity,” she said.

She reaffirmed PenCom’s commitment to strengthening pension administration, expanding coverage, improving service delivery and safeguarding contributors’ funds, while ensuring that pension assets contribute to national development through prudent and secure investments.