The National Pension Commission (PenCom) has disclosed that the micro pension scheme launched in March 2019, has recorded a total number of 28,000 contributors from 19 Pension Funds Administrator (PFAs) as at October 2019.
This is even as the Pension Operators Association of Nigeria (PenOp) revealed that pension transfer window which will ensure a seamless transfer of Retirement Savings Account (RSA) from one PFA to another is set to commence June 2020.
Speaking at the 2019 PenOp Annual Media Seminar held in Lagos, Head, Corporate Communications, PenCom, Peter Aghahowa, said that as at June 2019, 21,430 participants were registered into the scheme, in July, 221 contributors joined while in August, 1,299 subscribed, even as 2,737 participants were registered in September and 2,313 participants registered in October 2019.
Aghahowa noted that challenges such as low National Identity Number (NIN); which is a major requirement needed to enroll on the scheme, low awareness about the scheme, low financial literacy and insufficient technology platform to support the registration process are the reasons for the slow uptake of the scheme.
“Though NIN has slowed down the process of micro pension registration, PenCom has however collaborated with the National Identity Management Commission (NIMC) to ensure that participants get their numbers on time to fast track registration. The commission is working on having its own USSD code to ease payment of pension contribution for enrollees,”, he said.
Speaking earlier, the President, PenOp, Mrs. Aderonke Adedeji, said, though the micro pension scheme is moving at a slow pace, understanding and patience is needed to see the expected growth.
“We are not yet where we want to be. We need to address the issue of transfer window and the slow registration of NIN, but we are making progress in that aspect. In recent time we have been experiencing slow pace of growth of the industry and the reason is not far-fetched,’’ she said.
Adedeji, added that notwithstanding problems encountering the Nigerian economy, the solid structure put in place by the pension industry has continued to yield positive results.