Pension Fund Assets Rise By 22.74% To N28.04trn In January

Nigeria’s pension industry opened 2026 on a strong footing, with total pension assets rising to N28.04 trillion as of January 31, 2026, reflecting sustained growth in contributions and investment returns.

Latest unaudited data on the pension funds portfolio showed that assets under management increased significantly from N22.86 trillion recorded in January 2025, representing a 22.64 per cent year-on-year growth.

On a month-to-month basis, the industry added N580.22 billion, up from N27.46 trillion recorded at the end of the previous month.

The figures indicate that the pension sector expanded by about N5.17 trillion within a year, underscoring the continued growth of Nigeria’s contributory pension scheme.

Industry expansion has also been supported by an increase in the number of contributors. Data showed that Registered Savings Account (RSA) holders rose to 11,084,127 as of January 2026, reflecting the gradual widening of pension coverage.

A review of the asset allocation shows that Federal Government of Nigeria (FGN) securities remain the dominant investment class in the pension portfolio.

Investments in government instruments amounted to N16.69 trillion, representing the largest share of pension assets.

Within this category, FGN bonds held to maturity accounted for N13.16 trillion, making them the single largest investment component.

Other government-backed securities in the portfolio include Treasury Bills valued at N894.09 billion, while investments in Sukuk bonds held to maturity and available-for-sale instruments exceeded N100.18 billion. Pension funds also maintained exposure to Green Bonds worth N18.30 billion.

The industry also retained a strong position in the equity market. Domestic ordinary shares accounted for N4.29 trillion, spread across various pension fund categories.

Investments in foreign equities were recorded only under Closed Pension Fund Administrators, with a total value of N262.99 billion.

Corporate debt instruments also formed a notable component of the portfolio, standing at N2.24 trillion. This includes N1.45 trillion in corporate bonds, while corporate infrastructure bonds accounted for N67.42 billion.

To maintain adequate liquidity, pension funds allocated N2.75 trillion to money market instruments, with N2.48 trillion placed in fixed deposits and bank acceptances.

Alternative investments continued to support diversification within the portfolio. Infrastructure funds attracted N292.32 billion, while private equity investments stood at N241.85 billion.

Other allocations include N170.04 billion in real estate investments and N240.49 billion in mutual funds.

A breakdown by fund type shows that RSA Fund II remains the largest pool of pension assets, with a net asset value of N11.86 trillion.

This was followed by RSA Fund III with N7.19 trillion, while Fund IV—designed primarily for retirees—held assets worth N2.27 trillion.