PenCom: Payouts to Begin Before December 15 as Reforms Advance
By Patience Ikpeme
The National Pension Commission (PenCom) has assured Nigerian federal government workers retiring between October and December that they will receive their pension benefits before December 15 this year.
This commitment follows the approval of a N758 billion bond by President Bola Tinubu to clear pension arrears spanning nearly two decades.PenCom Director-General Omolola Oloworaran made the announcement during a two-day sensitisation workshop in Lagos aimed at deepening understanding of the Contributory Pension Scheme (CPS) among employees and pension desk officers.
“The waiting time is almost over; we are at the finishing line,” she said. “Very soon, all retirees under the CPS with outstanding benefits will be paid, thanks to the bold step taken by President Tinubu, who has shown genuine care for ordinary Nigerians.”
She outlined reforms designed to strengthen the pension system’s resilience, including the review of minimum capital requirements for Pension Fund Administrators (PFAs), issuance of whistleblowing guidelines for pension asset management, and revision of investment regulations to promote diversification and optimal returns for contributors.
To increase pension coverage, especially among informal sector workers, PenCom has launched a framework for accredited pension agents and guidelines for a new Personal Pension Plan (PPP). “The President has mandated that no Nigerian should be left behind,” Oloworaran emphasized.
Accredited agents will deploy nationwide, targeting rural areas and informal workers to expand access to retirement savings.Oloworaran also announced the introduction of a free health insurance scheme for low-income retirees slated for rollout before the end of 2025. Challenges remain with states still owing pension arrears, but PenCom is collaborating to resolve these pending issues.
The Commission is preparing for a one-off enrolment exercise for treasury-funded MDAs to determine total pension liabilities and ensure timely funding of accrued rights. “Once the liabilities are computed and funded, the amounts will be credited to individual Retirement Savings Accounts, enabling contributors to begin earning returns even before retirement,” the DG explained.
Stakeholders praised PenCom’s efforts at the workshop. The National Vice Chairman of the Forum of Pension Desk Officers commended the initiative for enhancing pension literacy, while the National Orientation Agency pledged to support PenCom’s communication on verified government operations.
PenCom remains committed to diversifying pension investments, improving governance, expanding coverage, and enhancing retirees’ welfare, encouraging ongoing feedback to optimize the pension system for all Nigerians.
