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By Henry Uche
Nigeria’s former President, Olusegun Obasanjo, has expressed excitement over the growth of the pension assets over the last 20 years.
Obasanjo, while going down memory lane, disclosed that “when his administration instituted the pension reforms and pushed for a reform bill, many did not think that the assets will grow this quickly and have the positive effect it has had so far”.
He stated this in a recent interview with the Chief Executive of the Pension Fund Operators Association of Nigeria (PenOp), Oguche Agudah. The interview was held as part of events to mark twenty years of pension reforms in Nigeria.
President Obasanjo recalled that one of the major reasons for the reform was his pain at seeing so many pensioners queuing up to collect their pensions during his first term in office, especially military men who had served the nation.
With this in mind, he resolved to see how the government could make pension management and administration private sector driven and more in line with global best practices.
On why he chose Contributory Pension Scheme (CPS) for Nigeria, he said; “it’s simple, we just see what other countries are doing and if it’s good for us we copy it and adapt. There is no harm in copying”.
He advised the pension industry to see how the pension assets, saved over the years, could help in national development, especially infrastructure investments in a safe and sustainable manner that does not jeopardize people’s pensions.
Similarly, the National Union of Pensioners Contributory Pension Scheme (NUPCPS) has affirmed that the CPS was the best thing that has happened to Nigeria’s Pensioners.
They stated this when the executives from various states of the Federation paid a courtesy visit to Mr Agudah, recently. They maintained that CPS was well structured and has eliminated fraud.
However, they stated that there are aspects of the CPS that can be improved upon, more so the need to conscientiously implement it to the letter.
They added that the scheme has given them certainty of payment of pensions and has enabled them to plan better. They called on the PenOp to engage with other stakeholders to ensure that other critical issues are looked into.
They highlighted constant engagement with the pensioners by the industry; enhancement of their pensions and more transparency in terms of how their returns are shown to them.
In response, Mr. Agudah commended the pensioners for impact to Nigeria and their organizations so far, stressing that the pension industry and the country at large still need to tap from their wealth of experience.
He assured the pensioners that pension operators would leave no stone unturned to boost their welfare. “We will continue to listen and engage with pensioners as Pension Fund Operators are working daily to ensure the best outcomes for you all”
The chairman of NUPCPS, Mr Nwaiwu appreciated Agudah for being a listening fellow and his desire to champion the cause of pensioners. “We than you for your support over the years and we implore you not to relent on this efforts to make sure the impact of the CPS is felt maximally by all pensioners” he urged.
