The National Pension Commission (PenCom) has cautioned that retirees accessing their Retirement Savings Accounts (RSAs) without receiving their accrued pension rights could undermine efforts to pressure the government to release the necessary funds.
PenCom’s Acting Director-General, Ms. Omolola Oloworaran, addressed this concern during the recent PenCom and Pension Fund Operators Association of Nigeria (PenOp) Journalist Workshop in Lagos. She explained that while retirees may seem silent after accessing their RSAs without the accrued rights, it hinders the government’s responsibility to ensure timely payment of these entitlements.
Ms. Oloworaran emphasized that the Pension Reform Act (PRA) of 2004 mandates that retirees should not access their RSAs without including the accrued pension rights. She acknowledged ongoing challenges with delays in these payments, revealing that N44 billion was approved under the 2024 budget to settle accrued pension rights for retirees from March to September 2023.
PenCom is working with the Federal Government to develop a sustainable solution to ensure timely and stress-free payments to retirees. Since assuming office, Ms. Oloworaran’s team has been focused on improving compliance, enhancing service delivery, diversifying pension assets for better returns, and expanding coverage to include more Nigerians, particularly in the informal sector.
