Pension schemes capture only 11% Nigerian workforce – PenOp

Pension fund assets hit N11.57trn

Pension schemes capture only 11% Nigerian workforce – PenOp


 

Despite the astronomical growth recorded in the pension fund, only 11 per cent of workforce in Nigeria is enrolled in the Contributory Pension Scheme (CPS) and the micro pension schemes

This is according to the Pension Fund Operators Association of Nigeria (PenOp) which advocates that the reach must be improved in the country.

Head of Media, Communications and Branding Committee of PenOp, who is also the Chief Executive of Fidelity Pensions Limited, Mrs. Amaka Andy-Azike, disclosed this during a webinar organized for pension correspondents.

Lamenting the development, Andy-Azike said: “We plan to have a pension awareness week, like a pension fair where operators attend to individuals on the spot with media partners available for coverage. We also intend to participate in World Savings Day to drive financial inclusion as only 11 percent of the active workforce is enrolled in contributory and micro pension schemes and this number needs to improve.”

Speaking on the plans for the coming year, Andy-Azike said: “Although the pandemic distorted a lot of things on our calendar this year, we have lined up a lot of programs and are looking forward to more media interactions in the coming year.”

Also speaking, Managing Director of Access Pension Fund Custodian (PFC), Mrs. Idu Okwuosa, said that all pension investments in the industry are insured, therefore there’s not a chance that anyone can have access to the funds in the industry.

Okwuosa said: “The public should be assured that all pension assets are traded in the name of the Pension Fund Administrator (PFA) and Pension Fund Custodian (PFC), in other words, the investments are made in the PFA/PFC’s name. The returns are not paramount to the National Pension Commission (PenCom) or operators, as much as the safety of the funds,” she said.

She assured that contributors under the Contributory Pension Scheme (CPS) can be rest assured that the Pension Fund Administrators (PFAs) and Pension Fund Custodian (PFCs) together with the regulator PenCom will continue to ensure the safety of pension assets for the benefit of all contributors.