Nigeria’s Pension Assets Hit N26 Trillion in September 2025 Amid Market Volatility

Nigeria’s pension industry maintained a strong growth trajectory in September 2025, with total assets rising to N26.09 trillion, up from N25.90 trillion in August. This 0.75% month-on-month increase represents a robust 23.44% year-on-year growth, signaling continued investor confidence despite ongoing market fluctuations.

Data from the National Pension Commission (PenCom) shows contributor numbers under the Contributory Pension Scheme (CPS) also inched upward, growing 0.42% to 10.93 million. This steady onboarding highlights that more Nigerians are actively participating in long-term retirement planning, even amid economic pressures.

Government securities remain the backbone of pension portfolios, accounting for 60.35% of total assets. While Federal Government of Nigeria (FGN) bonds saw declines—such as FGN Bonds down 3.37% and Sukuk falling 5.83%—other instruments like Treasury Bills and Green Bonds recorded gains of 2.50% and 7.69% respectively. This demonstrates fund managers’ continued preference for safer, inflation-resilient investments.

Equities and corporate debt showed measured growth, reflecting a cautious move toward higher-return assets. Domestic equities rose 1.47% to N3.66 trillion, while corporate bonds nudged up 0.12% to N2.24 trillion. Alternative investments had mixed outcomes: REITs surged 23.61%, but mutual funds and private equity experienced declines, collectively representing less than 1% of total pension assets.

Notably, cash holdings and other residual assets jumped 78.45% to N518.95 billion, indicating a tactical shift toward liquidity in volatile conditions. Overall, the September data underscores a resilient and evolving pension sector, balancing conservative strategies with gradual diversification. For contributors, it’s a sign that their retirement funds remain secure, steadily growing, and increasingly adaptable to Nigeria’s dynamic economic landscape.

source: nairametrics