Pension industry infrastructure fund nears launch — PenCom DG

Nigeria's National Pension Commission (PenCom) is on the verge of launching a significant Pension Industry Infrastructure Fund, designed to channel a substantial portion of the industry's assets into infrastructure and the capital market. Omolola Oloworaran, the Director-General of PenCom, stated that the fund is in the final stages of implementation, with a framework already deliberated upon and awaiting review.

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The pension industry infrastructure fund is now in advanced stages for implementation. We already have a framework which has been deliberated upon, and we will go back and review it.

"The pension industry infrastructure fund is now in advanced stages for implementation," Oloworaran announced. She emphasized the need for increased engagement in the capital market, noting that the pension fund industry holds the largest pool of passive, long-term capital in the country. PenCom expects to finalize its position on proceeding with the fund within the next one to two months after consultations with Pension Fund Administrators (PFAs), their boards, and stakeholders.

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The pension fund industry has probably the largest pool of passive, long-term capital in the country, so we need to be more engaged.

Beyond investment strategies, a key objective for PenCom is enhancing retirement outcomes for beneficiaries. The commission is actively exploring both local and global initiatives to boost the financial well-being of ordinary Nigerians, alongside efforts to improve pension literacy and awareness. This focus includes the upcoming maiden National Pension Week, scheduled for September 15 to 19, which aims to spotlight the industry, foster collaboration, and promote accountability and transparency.

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One of the key objectives we want to achieve is improving retirement outcomes for retirees. We continue to examine initiatives, both locally and globally, that can help us put more money in the hands of ordinary Nigerians while also improving pension literacy and awareness.

PenCom is also pursuing an ambitious goal to expand pension coverage, particularly targeting one million market women for enrollment in the Personal Pension Plan. While acknowledging they are still far from this target, Oloworaran highlighted ongoing engagements with market women associations, the National Union of Road Transport Workers, and other national groups, expressing confidence in progress towards this objective.

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It will hold from September 15 to 19. The initiative is designed to draw attention to the pension industry, bring stakeholders together, improve accountability and transparency, deepen pension literacy, and drive the Personal Pension Plan.