…..As 312, 291 workers join CPS in six months

Amaka Obiefuna

Pension Assets under the Contributory Pension Scheme (CPS) have increased from N7.52 trillion in December 2017  to N8.23 trillion in June 2018.

The Acting Director General of National Pension Commission (PenCom), Mrs. Aisha Dahir-Umar, who disclosed this during the 3rd annual conference of the National Association of Insurance and Pension Correspondents(NAIPCO), in Lagos on Thursday, said the increase is attributed to new contributions received, interest/ coupon from fixed income securities and net realised/ unrealised gains on equities and mutual fund investments.

The PenCom boss, who was represented by Lana Loyinmi, Head, Contributions Bond Redemption Department,  PenCom, said the number of contributors had also grown from 7.89 million in December 2017 to 8.14 million in June 2018 as a total of 312, 291 employees joined the pension scheme during the first six months of the current year.

Umar, who spoke briefly in recent developments in the sector,  also pointed out that as part of efforts to enhance the monthly pension of retirees under the scheme,  the commission initiated the Person Enhancement Programme.

She said: “It was discovered that the returns being generated by the PFAs on the balances of RSAs of majority of retirees could be used to enhance their monthly pensions.”

Consequently,  she added that, the commission sought for and obtained the approval of the Secretary to the Government of the Federation to implement the pension enhancement programme, which resulted  in increased monthly pensions for most retirees receiving pension under the programmed withdrawal arrangement.

She said the implementation of the pension enhancement was one of the significant milestones attained since the commencement of the CPS,  stressing that, it confirmed that CPS had workable internal mechanisms to respond to legitimate demands of retirees as they seek a reasonable retirement income.

The commission, she said, intends to sustain this periodic review exercise in line with relevant provisions of the law.