The National Pension Commission (PenCom) has said the government has released more than N577 billion (over $395 million) from the N758 billion bond approved by President Bola Tinubu earlier this year to clear longstanding pension liabilities under the Contributory Pension Scheme (CPS).
Speaking at the 2025 Pension Revolution Summit in Abuja, where she presented her one-year scorecard, PenCom Director-General Omolola Oloworaran hailed the disbursement as a landmark achievement that restores confidence in Nigeria’s pension system.
President Tinubu approved the N758 billion bond in February 2025 to address accrued pension rights, increases dating back years, contribution shortfalls, and other obligations owed to federal retirees and contributors.
Oloworaran detailed that N577.5 billion has already been credited directly to Retirement Savings Accounts (RSAs), benefiting over 1.05 million accounts nationwide.
Of the funds, N387 billion was allocated for pension increases, with N362.7 billion paid out to more than 910,000 retirees and the remaining N24.7 billion in processing. Additionally, N107 billion was remitted to cover the federal government’s 2.5 percent contribution shortfall from 2017 to 2021, aiding approximately 750,223 RSA holders. Funds were also directed toward the Pension Protection Fund and Minimum Pension Guarantee.
“This unprecedented intervention sends a clear signal that Nigeria honours its commitments to workers and retirees,” Oloworaran said, emphasising the government’s dedication to worker welfare.
Reflecting on her first year in office, the DG highlighted the launch of Pension Reform 2.0 – a comprehensive agenda focused on governance reforms, enhanced supervision, digital transformation, and industry realignment. These efforts have yielded tangible results, including faster pension payments, improved compliance, and better retiree support.
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A key initiative, Pension Boost (also referred to as Pension Boost 2.0 in some updates), has injected an additional N2.68 billion into monthly pension payments for CPS retirees since June. “These are not just numbers,” Oloworaran stressed. “They are meals on tables, rents paid, debts settled, and dignity preserved.”
On the technology front, PenCom has fully automated key processes, such as pension clearance certificates, benefit processing, and contribution remittance platforms, reducing delays and enhancing transparency.
The commission also inaugurated the board of trustees for the Pension Healthcare Initiative (PenCare), designed to deliver affordable healthcare to low-income retirees.
Compliance efforts saw a dramatic surge, with recoveries of unremitted contributions reaching N4.04 billion from January to November 2025 – nearly triple the N1.44 billion recovered throughout 2024. Notably, N2.06 billion was recovered in the third quarter alone, attributed to stricter enforcement linking Pension Clearance Certificates to industry participation.
“Retirement security is not a privilege; it is a right, and PenCom will defend it,” Oloworaran declared, pledging continued expansion of coverage, stronger governance, and protection for retirees and contributors.
The summit underscored PenCom’s vision to position the pension industry as a pillar of national economic stability, with assets under management now exceeding N26 trillion in some reports.
