PenCom says pension assets surpassed N23trn in February

The National Pension Commission (PenCom) says as of February, the total value of pension assets under management had surpassed N23 trillion.

Omolola Oloworaran, director-general (DG) of PenCom, spoke on Wednesday in Kano, during the first run 2025 consultative forum for states and the Federal Capital Territory (FCT).

Oloworaran said PenCom recovered N1.58 billion from defaulting employers through enhanced enforcement efforts.

She also said state remittances have shown improvement, reflecting a greater adoption of the contributory pension scheme (CPS).

Despite the gains, the DG said challenges persist, with only 25 states and the FCT having passed laws to implement the CPS.

“Six states operate hybrid schemes, while another six have bills at advanced legislative stages,” she said.

“Notable progress has been made in Katsina, Yobe, Bauchi, and Abia states. However, full implementation of the CPS is currently limited to eight states.”

To bridge the gap, Oloworaran said PenCom introduced a flexible adoption model that allows states to commence implementation with new employees or those with less than 10 years of service.

She added that the commission is offering technical assistance to help states in planning legacy liabilities and transition their entire workforce in a way that ensures long-term financial sustainability.

“With sustained dialogue, technical collaboration, and strong political will, we are confident of reaching this goal,” she said.

Describing the forum as more than a routine meeting, the director-general called it “a call to collective action” and urged participants to share ideas and commit to building an inclusive pension system.

Also speaking, Abdullahi Musa, head of service in Kano, reaffirmed the state’s commitment to ongoing pension reforms.

Musa commended PenCom for its role in promoting best practices and described the forum as a platform for dialogue, peer learning, and policy development.

He said Kano made significant progress in restructuring its pension system, notably through the adoption of a hybrid model that combined elements of the defined benefits and the CPS.

According to the head of service, the administration of Abba Kabir Yusuf, governor of Kano, has made significant efforts to clear pension arrears and improve the management of retirement benefits.

Musa added that the state government had paid N16 billion in outstanding entitlements, which represented about 40 percent of the liabilities inherited from previous administrations.