A pension expert, Michael Oyebola, has highlighted several data-related issues affecting the effectiveness of the Micro Pension Plan (MPP) in Nigeria. These issues, which include inconsistent, incomplete, and illegible data, as well as delays and absence of critical information, are prevalent among Pension Fund Administrators (PFAs) and the National Pension Commission (PenCom). Oyebola pointed out that these challenges need to be addressed before technology can be fully leveraged to expand the MPP and improve financial inclusion for Nigeria’s informal workforce.
Speaking at the “Role of Technology in Micro Pensions” seminar in Lagos, Oyebola emphasized the importance of a solid foundation for the successful integration of technology into the MPP. He stressed that the pension industry needs to focus on improving customer education, accessibility, and trust to foster adoption. Additionally, Oyebola noted the significance of digital infrastructure, such as secure digital IDs and platform-based solutions, to ensure the effectiveness of technology in managing pension schemes for informal workers.
Oyebola also discussed the scale of the informal workforce in Nigeria, with an estimated 60.99 million people, or 83.2% of the total workforce, working in informal sectors. He underscored the need for collaboration within the industry to tackle challenges related to technology, regulatory frameworks, financial literacy, and data security. Oyebola’s company, Money Counsellors, aims to bridge these gaps by offering data-driven insights and analysis to support informed decision-making in the pension sector.