The National Pension Commission, PenCom, says Nigeria’s pension industry is committing $250 million towards infrastructure investment over the next 10 years, as the commission seeks to increase the role of pension funds in financing productive assets.
PenCom Director-General, Omolola Oloworaran, disclosed this at the commission’s 2026 media conference in Lagos, themed, “From Reform to Reality: Renewed Hope, Pension Security for Nigerians.”
Oloworaran said pension fund operators had committed $200 million as an anchor investment for infrastructure projects, while another $50 million was being sought from development finance institutions.
She explained that the combined commitment would bring the initial investment to $250 million, describing it as the beginning of a broader effort to deploy pension funds into infrastructure and other productive investments.
According to the PenCom Director-General, the commission will provide details of the specific infrastructure projects expected to benefit from the investment between the first and second quarters of 2027.
She also disclosed that the pension industry is currently investing about N420 billion in infrastructure, adding that the figure has the potential to rise to almost N1 trillion in the coming years.
Oloworaran said the commission would ensure that pension funds are invested in projects capable of generating secure and sustainable returns for contributors while supporting Nigeria’s infrastructure development.
She said Nigeria needed more productive investments, while pension contributors required secure returns, adding that PenCom would focus on rigorous project selection and protecting the interests of pension contributors.
Monthly Pension Payments Rise
The PenCom Director-General also disclosed that monthly pension payments have increased from N12.15 billion to N14.83 billion following an increase in pension benefits for more than 241,000 retirees under the Contributory Pension Scheme.
Oloworaran described the development as a significant milestone for Nigeria’s pension system, noting that retirees across the Contributory Pension Scheme received an increase in their pensions.
She said the Pension Boost 1.0 initiative resulted in increased monthly pensions for more than 241,000 retirees, with the total monthly pension bill rising from N12.15 billion to N14.83 billion after the adjustment was implemented.
According to her, the increase was particularly significant for retired workers who depend on their monthly pensions to meet basic household needs.
Oloworaran also announced a major review of pensions for beneficiaries of the defunct Nigerian Social Insurance Trust Fund, NSITF.
She said the review marked the first adjustment in 21 years for pensioners under the scheme, whose pensions had remained unchanged since 2005.
According to the PenCom DG, the commission invoked the relevant provisions of the law to order a comprehensive review of the pensions, resulting in an average increase of 1,173 per cent.
The adjustment affected 2,116 NSITF retirees, with their combined monthly pension payments increasing from N12.6 million to N159.95 million.
Oloworaran further disclosed that N8.7 billion in outstanding pension arrears owed to the affected retirees had been paid in full.
She gave the example of one retiree whose monthly pension had previously been about N18,000 but was increased to N206,000 following the review.
The development, she said, reflected the commission’s efforts to improve pension security and ensure that retirees receive benefits that better reflect their needs after years of service.
PenCom’s infrastructure investment plan and the pension adjustments form part of the commission’s broader efforts to strengthen Nigeria’s pension system while ensuring that pension funds contribute to economic development and retirees receive improved financial support.
SOURCE: VANGUARD
