Pension fund assets hits N5.9 trillion
The National Pension Commission (PenCom) has disclosed that pension fund assets under the Contributory Pension Scheme (CPS) now hovered at over N5.9 trillion.
This disclosure was made by the Director General, PenCom Mrs Chinelo Anohu-Amazu during a workshop organized by PenCom for Finance, Insurance, Labour correspondents and business editors in Calabar, the Cross River State capital.
Chinelo who was represented by the Commissioner, Inspectorate, PenCom, Prof. Abubakar Kaoje stated that the major success indicators of the commission include the consistent growth in a large pool of pension assets of over N5.9 trillion, which are invested in structured and safe financial instruments.
Other key success according to her include registration of 7.2 million pension contributors; 170,000 retirees under the CPS amongst others.
However, she opined that the modest milestones notwithstanding, the implementation of the PRA 2004 was not bereft of challenges.
She stated that some issues were noted in the course of implementation since the PRA 2004 adding that it underscored the imperative for a comprehensive review of the PRA in order to consolidate on the Pension Reform.
The re-enactment of the PRA in July 2014, she said provided a sound basis to guide the second decade of the Nigerian Pension Reform. The PRA 2014 sought to ensure that more tangible benefits accrue to retirees towards a more blissful retirement.
Anohu-Amazu highlighted Some of the major developments introduced by the new law include an increase in monthly pension contributions to 18% from the previous 15%, in order to ensure that retirement benefits are enhanced under the CPS for the benefit of contributors and reduction in the waiting period for contributors to access their Retirement Savings Account (RSA) in the event of temporary loss of job from 6 months to 4 months; stiffer penalties and sanctions for infractions.
Others include establishment of the Pension Transitional Arrangements Directorate (PTAD) to co-ordinate the smooth administration of the old DB Scheme of the public service amongst others.
She assured enactment of the PRA 2014 served as the basis for the implementation of our new Corporate Strategy Plan. “Expanding the coverage of the CPS to the underserved economic sectors through our Micro Pension initiative is a key priority of our strategic vision. As we seek to increase registered pension contributors to at least 20 million by the year 2019, informal sector participation through the Micro Pension Plan is expected to provide impetus.
The Commission has also enhanced its support to the States in facilitating their adoption and implementation of the CPS by providing a bespoke technical assistance, through our State Operations Department and Zonal Offices in each of the 6 geo-political Zones”, she pointed out.
Leave a Reply