The Nigerian Pension Commission (NPC) announced on Wednesday that 17 out of Nigeria’s 36 states are currently operating the contributory pension scheme (CPS). The Commission noted that 12 states have not yet started, while seven states are in the process of establishing their pension bureaus.

The announcement was made at the Second Run 2025 Consultative Forum for States and the FCT, held in Benin City, Edo State. The forum also highlighted plans to revamp the micro-pension plan for informal sector workers, rebranding it as the Personal Pension Plan (PPP) to expand coverage to millions of Nigerians outside the formal employment sector.

In her welcome address, NPC Director General, Ms. Omolola Oloworaran, praised President Bola Tinubu for approving a ₦758 billion bond through the Federal Executive Council to settle legacy pension liabilities, including accrued rights, pension increases, and minimum pension guarantees.

Represented at the forum by Commissioner of Inspectorate, Samuel Uwandu, Oloworaran said:

“Today, under the CPS, over 10.9 million workers across the Federal, State, and private sectors are benefiting, with pension assets now exceeding ₦26 trillion, fueling national development. However, the success of this reform depends on its full implementation in every state, local government, and the informal sector.”

She highlighted key achievements over the past year, including:

• Timely payment of accrued pension rights
• Planned reintroduction of gratuity payments for federal civil servants under CPS
• Introduction of a new Pension Contribution Remittance System (PCRS) to reduce errors and delays

Oloworaran stressed that the continued success of Nigeria’s pension system depends on sub-national governments embracing full CPS implementation, commending states that have enacted pension laws and commenced contribution remittances for their workers.

During a presentation on “Recent Developments in the Pension Industry,” Ibrahim Buwai, Acting Head of Corporate Communications, noted that the new informal sector scheme allows individuals to contribute at their own pace, ensuring all Nigerians can build retirement savings, regardless of employment type.

Governor Monday Okpebholo, represented by SSG Musa Ikhilor, reaffirmed Edo State’s commitment to the contributory pension scheme, stating that his administration is awaiting a comprehensive report on the state’s pension implementation and is prepared to act on its recommendations. He also confirmed that ₦3 billion out of ₦5 billion owed to staff of the state-owned College of Education, affected by the federal takeover, has already been released.