Data released by the National Pension Commission reveals that the total assets under the Contributory Pension Scheme soared to N18.36tn by the conclusion of 2023, reflecting a remarkable 22.43% surge.
The surge, as detailed in PenCom’s ‘Unaudited report on pension funds industry portfolio for the period ended December 2023,’ was primarily driven by increased supply from the Debt Management Office. This move aimed to fulfill the Federal Government’s domestic funding targets and address budget deficits within the N23tn 2023 budget.
Abdulqadir Dahiru, the Head of the Corporate Communications Department at PenCom, highlighted the broader impact of Nigeria’s currency devaluation on both pension funds and the overall economy. He emphasized that the depreciation of the naira, coupled with inflation, has substantially diminished the purchasing power of individuals and businesses alike.
Addressing the microeconomic challenges posed by currency devaluation and inflation, PenCom continues to strategize and implement measures to mitigate adverse effects on pension funds and safeguard the interests of contributors.
Source: PUNCH