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By Henry Uche, [email protected]
The National Pension Commission (NPC) said the value of Pension Fund Assets has risen to N14.27trillion, while the number of registered Contributors under the Contributory Pension Scheme (CPS) increased to 9,795,957million as at June 30, 2022.
The Director General of the Commission, Aisha Dahir-Umar, who made this known at the annual Journalists’ workshop organised by the Commission in Lagos recently, said the increase in the number of Contributors and the Pension Fund Assets was due to the recapitalisation exercise carried out in 2021 which saw to the increased of Minimum Regulatory Capital (Shareholders’ Fund) requirements of Pension Fund Administrators (PFAs) from N1 billion to N5 billion.
According to her, the major reason for the recapitalisation was to ramp up the capacity of the Pension Fund Administrators to manage the increasing number of Contributors as well as the value of Pension Fund Assets. She affirmed that the exercise would will bring about increased effectiveness and efficiency as well as improved service delivery in the industry.
Pencom boss revealed that all Pension Fund Administrators (PFAs) complied with the Commission’s directive to increase the Minimum Regulatory Capital (Shareholders’ Fund) from N1 billion to N5 billion, within the 12-month transition deadline from April 27 2021, to April 27 2022 of recapitalization exercise.
With the theme: “Increasing Informal Sector Participation in the Contributory Pension Scheme” (CPS): The case for Micro Pension Plan (MPP), the DG used the forum to seek more support from the media to foster the gospel of Insurance and the Commission’s resolve to expand coverage of the CPS.
“The objective is to bring in to the CPS, Nigerians working in the Informal sector and those who are self employed through the Micro Pension Plan (MPP)”
Dahir-Umar pledged the Commission’s resolve to sustaining the existing cordial relationship with the media, and hoped such would translate to the general public being better informed about the pension industry. She charged the media to make the MPP popular amongst informal sector workers and the self-employed.
“The Commission is not unmindful of your critical role in disseminating factual information to its stakeholders. So, it is imperative to constantly interact and inform you of recent developments in the pension industry and some of the Commission’s significant activities.
“Strategic efforts to drive the Micro Pension Plan (MPP) remain one of the significant areas of focus of the Commission. The MPP was conceptualized to expand pension coverage to the informal sector, including small-scale businesses, entertainers, professionals, petty traders, artisans, and entrepreneurs.
“The MPP was implemented to curb old-age poverty by assisting the workers, as mentioned above to contribute while working and build long-term savings to fall back on when they become old. To create awareness of the Micro Pension Plan, the Commission, in collaboration with the Pension Fund Operators Association of Nigeria, is currently championing an Industry Media Campaign in major cities in the country’s six geopolitical zones,”
She reaffirmed the Commission’s commitment to creating awareness and holding social dialogue on the workings of the CPS with relevant stakeholders towards the smooth implementation of the Scheme in Nigeria.
