The National Pension Commission (PenCom) is partnering with the Ministry of Finance to address delays in retirees’ benefit payments. Speaking at a media session in Lagos, PenCom’s Director-General, Omolola Oloworaran, highlighted ongoing efforts to ensure that retirees under the Contributory Pension Scheme (CPS) receive their benefits within a month of retirement. She noted that while retirees’ contributions are secure, accrued rights owed by the government remain a bottleneck, prompting a push for lasting solutions to prevent such delays.
Oloworaran reported that approximately 18,000 retirees are currently awaiting their benefits, and the government recently released ₦44 billion to settle accrued rights from March to October 2023. She also addressed issues with African Alliance Insurance Company, revealing that the firm has been banned from selling annuities due to payment delays. PenCom is working to ensure compliance and avoid similar problems in the future, collaborating with the National Insurance Commission (NAICOM) to explore further penalties.
Furthermore, Oloworaran reaffirmed PenCom’s commitment to investing in federal government securities, emphasizing their risk-free nature and competitive returns. She underscored that such investments align with global pension fund practices, helping to maintain stability while delivering value to contributors. The DG expressed optimism that these measures will solidify the pension system and enhance retiree satisfaction.