Executive Summary
Nigeria's pension system has undergone significant reforms since the introduction of the Contributory Pension Scheme (CPS) in 2004, moving away from the unsustainable Defined Benefit Scheme. Retirees under the CPS now have retirement savings accounts (RSAs) that they can monitor, leading to increased assurance and dignity in retirement. The pension industry has emerged as a pillar of economic strength, with assets nearing N27 trillion invested in various sectors, including infrastructure. The inclusion of diaspora Nigerians through dollar-denominated pension funds further reflects the system’s evolution. Despite these gains, challenges remain, including addressing accrued rights and increasing public awareness, requiring sustained momentum from policymakers, employers, and regulators.
- Nigeria's pension system has made significant gains but requires sustained effort from all stakeholders to ensure its continued success.
What Is Driving The Story?
- Contributory Pension Scheme (CPS) implementation.
- Growth of pension assets and investments.