In the first half of the year, employers across public and private sectors in Nigeria remitted approximately N692 billion to employee retirement savings accounts, according to a recent report from the National Pension Commission.
A breakdown of the data showed that N314.17 billion was contributed in the first quarter, with an additional N377.83 billion in the second quarter, highlighting a consistent increase. The public sector led these contributions, accounting for N380.28 billion, while the private sector contributed N311.72 billion during the same period.
Compared to the first half of 2023, the total contributions in H1 2024 declined by 7.29%, dropping from N746.45 billion. By the end of June 2024, cumulative pension contributions reached N10.63 trillion, marking a significant rise from N9.37 trillion at the same point in 2023.
Additionally, data from the National Bureau of Statistics revealed that, out of Nigeria’s 88.94 million-strong labor force, only 26.3% had access to pension or health insurance, highlighting the challenges in broadening social security coverage.
New enrollments into retirement savings accounts indicate a youthful workforce engagement, with 83.05% of the 100,063 new Q2 registrations coming from contributors below 40. Gender distribution showed that female registrations surpassed male registrations, making up 59.71% of new accounts.
The Pension Fund Operators Association of Nigeria emphasized that growing participation, especially from younger Nigerians, reflects the scheme’s sustainability and expanding compliance across sectors. By August’s end, total pension fund assets had reached N21.13 trillion, with cumulative RSA enrollments standing at over 10.45 million since the scheme’s inception.
- Tags: Nigerian economy, Pencom, Pension, Youth Empowerment
