The N2tn proposed to be raised from the Contributory Pensions Fund for investment in infrastructure development will be through bonds, according to findings by The PUNCH on Wednesday.
A National Economic Council source told The PUNCH in Abuja, “This is not free money; it’s through investment as bonds. It is not like the Federal Government will just dip hands into the pensions fund and begin to spend the N2tn.
“When it is raised and invested, it means the private sector can also access the money, use it for investment on infrastructure.”
NEC had come up the idea of using part of the N10tn accrued to the pensions fund for investment in infrastructure, particularly roads and railways.
At its first meeting for the year chaired by Vice-President Yemi Osinbajo on Thursday last week, a NEC committee headed by the Governor of Kaduna State, Nasir el-Rufai, presented an updated report to the session.
The NEC source on Wednesday said, “There will be returns on investment and the principal can be recovered as well. So, the process continues, as against allowing the pension money to lie idle.
“The pension fund was contributed my both workers and the government as stipulated by law. The money is not for workers alone.”
The VP’s office confirmed in Abuja that the N2tn was among key discussions at the last NEC session.