Nigeria’s pension assets recorded a historic surge in February 2026, rising by N1.39 trillion to reach N29.43 trillion, the highest monthly growth since the Contributory Pension Scheme (CPS) began over two decades ago. The sharp increase reflects a strong rebound in market performance, particularly in equities, offering a boost to millions of contributors relying on the system for long-term financial security.
This latest growth surpasses the previous record set in January 2024, when assets rose by N1.18 trillion, signaling a new phase of accelerated expansion in the pension industry. According to data from the National Pension Commission (PenCom), the jump from N28.04 trillion in January was driven by fresh inflows and valuation gains, with domestic equities playing a key role in lifting overall returns.
A closer look at the portfolio shows increasing confidence in the Nigerian stock market, with pension funds’ domestic equity holdings climbing to N5.41 trillion. In contrast, foreign equity investments remained relatively low at N261.99 billion, highlighting a continued preference for local markets amid global economic uncertainties. PenCom’s Director-General, Omolola Oloworaran, noted that pension funds now account for roughly N4 trillion in equities, representing about 3 to 4 percent of the Nigerian Exchange’s total market capitalisation.
Despite the growing interest in equities, the pension industry remains largely conservative in its investment approach. Government securities still dominate portfolios, with total investments in Federal Government instruments rising to N16.93 trillion—more than half of total assets. These are mainly held in long-term bonds, treasury bills, and other stable instruments that offer predictable returns, ensuring the safety of contributors’ funds even in volatile market conditions.
Overall, the February data paints a picture of a steadily expanding but cautious pension sector. While participation continues to grow, with Retirement Savings Account membership reaching 11.13 million, most of the expansion is still driven by the formal sector. Efforts are underway to deepen inclusion through initiatives like the Personal Pension Plan, even as experts note that future growth will depend on stronger capital markets, increased diversification, and broader access to alternative investments such as infrastructure and private equity.