Pension Fund Assets Grow By N62bn Amid States’ Payment Delays

Nigeria’s pension fund assets increased by N62 billion from N23.266 trillion in February 2025 to N23.328 trillion in March 2025, despite persistent delays in monthly pension contributions by some state governments, LEADERSHIP has learnt.

This is even as about 10.68million workers have so far joined the new pension scheme known as Contributory Pension Scheme(CPS) as at the end of March, 2025.

Available data from the National Pension Commission(PenCom) dated May 22, 2025, showed that the growth in pension assets was largely driven by new pension contributions, investment income, and gains from equities and mutual funds even as delays by some state governments to remit the monthly pension contributions of their workers as and when due.
Investment in Federal Government of Nigeria (FGN) securities rose slightly from N14.468 trillion in February to N14.484 trillion in March. This includes N12.3 trillion in FGN Government Bonds, N593.2 billion in Treasury Bills, N89.2 billion in Sukuk Bonds, and N2.511 billion in Green Bonds. State Government securities accounted for N249.7 billion during the period, while pension fund operators invested N2.07 trillion in money market instruments.

Pension fund operators, however, invested N2.07 trillion in Money Market Instrument.
Commenting on this development at a seminar in Lagos recently, the director general of the National Pension Commission(PenCom), Omolola Oloworaran said: “This progress demonstrates the strength of our contributory pension system, but we are not without challenges. Inflation, for instance, continues to erode the purchasing power of pensioners, and we are actively seeking innovative solutions to address this issue.”

She added that the pension industry continues to face the persistent issue of delays in the payment of accrued rights, noting that, “we are working with the federal government to put in place a sustainable solution that ensures retirees receive their benefits promptly and without undue stress.”

Similarly, the executive secretary/CEO, Pension Fund Operators Association of Nigeria (PenOp), Oguche Aguda, while applauding the contributions of pension fund operators toward growing the assets, assured pension contributions that their funds are in safe hands, attesting to the fact that, there has been no reported mismanagement of pension fund under the new scheme.

He disclosed that the operators are working with the pension industry regulator to address grey areas and smoothing things to ensure that the industry attracts more subscribers and gives investment values to stakeholders, including contributors, investors, among others.