Pension assets rose 51% to N31.48tn in two years – PenCom DG

Nigeria's pension assets have surged by 51 percent over the last two years, reaching N31.48 trillion, according to the Director-General of the National Pension Commission (PenCom), Omolola Oloworaran. This significant increase represents an accumulation of N10.7 trillion in new retirement savings within the specified period.

Oloworaran announced the figures during a press briefing, attributing the substantial growth primarily to a restoration of public confidence in the country's Contributory Pension Scheme. She stated that confidence in the safety of contributions, the efficiency of institutions, and the promise of security in retirement are the cornerstones of any successful pension system. "Two years ago, that confidence needed restoring. Today, the verdict is in," she remarked, highlighting the positive shift.

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Every successful pension system on Earth is built on a simple foundation: confidence. Confidence that contributions are safe, confidence that institutions work, confidence that after decades of honest labour, retirement will bring security, not uncertainty.

The growth in pension assets was driven by multiple factors, including improved investment returns and a notable rise in active participation. Over the past 24 months, the scheme welcomed 938,229 new contributors. Furthermore, aggregate monthly pension payments saw a 22 percent increase, rising from N12.2 billion to N14.9 billion.

In addition to the overall asset growth, Oloworaran noted that the Federal Government approved a N32,000 monthly consequential pension adjustment for eligible retirees from treasury-funded Ministries, Departments, and Agencies who retired on or before July 29, 2024. This adjustment, following the implementation of the new national minimum wage, has already benefited over 195,000 pensioners. The Contributory Pension Scheme, established in 2004 and strengthened in 2014, covers federal employees, military personnel, and private sector workers in organizations with three or more employees.

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Two years ago, that confidence needed restoring. Today, the verdict is in. Pension assets have grown from N20.7tn to N31.48tn as of this month. That is a 51 per cent increase, representing N10.7tn in new retirement wealth. Let me say plainly what those numbers mean: confidence is back, and the system is growing.