Federal workers contribute N60m to pension fund

Category: Pensions


  Read (882)
Federal workers contribute N60m to pension fundEmployees of the Federal Government have since the inception of the new pension scheme in 2004 contributed N60 million to the fund. The money, which has been invested by the Central Bank of Nigeria (CBN), will be transferred to each employee\'s retirement savings account once they are opened. About N284 billion will also be injected into the Nigerian financial system through the funding of past deficits by private sector pension funds. The Chairman of the National Pension Commission (NPC), Mr. Fola Adeola, said in Lagos yesterday that his organisation had issued PIN numbers to all the registered contributors. In his address at the 2006 pension reform seminar organised by KPMG, African Capital Alliance and the NPC, Adeola said the NPC would continue to supervise the collection and investment of pension contributions by the Federal Government employees. He said that the commission, in consultation with various stakeholders, had issued regulations and guidelines on investment and valuation of pension fund assets and the fees to be paid. Adeola said: \"Each pension fund administrator (PFA) is required to establish an investment strategy committee as well as a risk management committee, in compliance with section 66 of the Pension Reform Act 2004. \"The investment strategy committee shall formulate internal investment strategies to enable compliance with the investment regulations issued by the commission, determine an optimal investment mix consistent with the risk profile of PFAs, evaluate the periodic performance of their portfolios and carry out all other functions deemed necessary in meeting investment objectives,\" he said. In order to ensure market disciplines, transparency and ease of valuation of assets, the NPC boss pointed out that deliberate efforts had been made to ensure that pension assets were traded in a recognised stock exchange. \"Safety of pension assets remains our primary goal in order to build confidence and allow the industry to develop,\" he said. Adeola stated that the new pension scheme had been faced with public misconception and misinformation. - guardian

Tags: , 


Comment With Your Facebook or Yahoo! ID


Latest news


News on Pensions

Feedback Form Subscribe/Unsubscribe Inside Proshare Directory Investment Community Developer Newsletters Site Map

Get our toolbar!