17 states fully implement contributory pension scheme — PenCom

The National Pension Commission (PenCom) on Wednesday disclosed that only 17 out of Nigeria’s 36 states are fully implementing the Contributory Pension Scheme (CPS), while 12 states have not commenced implementation, and seven others remain at various stages of establishing their pension bureaus.

Speaking at the Second Run 2025 Consultative Forum for States and the FCT held in Benin, the Commission also announced a major reform in the micro-pension framework.

It revealed that the scheme for informal-sector workers is being redesigned and rebranded as the Personal Pension Plan (PPP) to accommodate millions of Nigerians outside the formal workforce.

Director General of PenCom, Ms. Omolola Oloworaran, in her welcome address, commended President Bola Tinubu for approving a ₦758 billion bond through the Federal Executive Council to clear legacy pension liabilities, including accrued rights, pension increases and the minimum pension guarantee.

Oloworaran who was represented by the Commissioner for the Inspectorate Department, PenCom, Samuel Uwandu, noted that the CPS had restored confidence in retirement savings.

“Today, under the CPS, that promise is being kept for over 10.9 million workers at the federal, state and private-sector levels, with pension assets now topping ₦26 trillion, fueling our nation’s development”, she said.

She, however, that the success of the national pension reform depends on full adoption by all states, local governments and the informal sector.

Reviewing her first year in office, the DG listed key reforms including the timely payment of accrued pension rights, the planned reintroduction of gratuity for federal civil servants under the CPS, and the deployment of a new Pension Contribution Remittance System (PCRS) designed to eliminate errors and delays in contribution processing.

In a presentation on recent developments in the industry, Acting Head of Corporate Communications, Ibrahim Buwai, said the redesigned informal-sector scheme offers flexible options that allow individuals to contribute at their own pace, ensuring that “every Nigerian, regardless of employment type, can build sustainable retirement savings.”

Declaring the two-day forum open, Governor Monday Okpebholo, represented by the Secretary to the State Government, Musa Ikhilor Esq., reaffirmed Edo State’s commitment to the contributory pension system.

He stated that the state government was awaiting the full report on pension reforms in Edo and would implement its recommendations.

Okpebholo revealed that the administration has already released ₦3 billion out of ₦5 billion owed to staff of the state-owned College of Education who were disengaged after the institution was taken over by the Federal Government.

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