The Nigerian Pension Commission (PenCom) on Wednesday said only 17 states out of Nigeria’s 36 states are currently implementing the Contributory Pension Scheme.
The commission noted that 12 states have not started at all, while seven states are at various stages of establishing their pension bureaus.
Speaking at the Second Run 2025 Consultative Forum for States and the FCT held in Benin, Edo State, the commission also said that the existing micro-pension plan for informal sector workers is being redesigned and rebranded as the Personal Pension Plan to accommodate millions of Nigerians in the informal sector.
In her welcome address, the Director-General of PenCom, Omolola Oloworaran, commended President Bola Tinubu for approving a ₦758 billion bond through the Federal Executive Council to settle legacy pension liabilities, including accrued rights, pension increases, and the minimum pension guarantee.
Represented by the Commissioner for Inspectorate, Samuel Uwandu, Oloworaran said, “Today, under the CPS, that promise is being kept for over 10.9 million workers at the Federal, State, and Private Sector levels, with pension assets now topping ₦26 trillion, fueling our nation’s development. But our mission as an industry is not complete.
“The success of this national reform rests on its implementation in every State, Local Government, and across the Informal Sector. This Forum is the engine of that collaboration.
“This November marks one year since I assumed office as Director General of the National Pension Commission. It has been a year of deliberate reform, focused on strengthening governance and expanding the value of the pension system for all Nigerians.
“17 states out of the 36 states in the country are currently implementing the contributing pension scheme. Twelve states have not started at all, while seven states are at various stages of establishing their pension bureaus.”
She added that in the last year, the commission achieved timely payment of accrued pension rights, re-introduced gratuity payments for federal civil servants under the CPS, and introduced a new pension contribution remittance system to eliminate errors and delays, among other initiatives.
Oloworaran stressed that the success of Nigeria’s pension system depended on sub-national governments embracing full implementation of the CPS/Contributory Defined Benefit Scheme (CDBS) and commended the states that had enacted pension laws and commenced contribution remittances for their workers.
In his presentation on “Recent Developments in the Pension Industry,” the Acting Head of Corporate Communications at PenCom, Ibrahim Buwai, said the scheme for the informal sector offers a flexible structure, allowing individuals to contribute at their own pace and build retirement savings regardless of employment type.
Declaring the two-day event open, Governor Monday Okpebholo, represented by the Secretary to the State Government (SSG), Musa Ikhilor, said his administration supports the contributory pension scheme. He added that the state was expecting a report on the pension scheme and was ready to implement its recommendations.
He further noted that the administration had released ₦3 billion out of the ₦5 billion owed to staff of the state-owned College of Education who were disengaged when the school was taken over by the federal government.
(Punch)
