The National Pension Commission (PenCom) has announced a renewed initiative to expand pension coverage to Nigerians in the informal sector through its newly designed Personal Pension Plan (PPP). The announcement was made on Thursday in Abuja at the annual conference of the Pension Correspondents Association of Nigeria (PenCAN).
The conference, themed “Inclusion and Innovations: Bridging the Pension Gap for Nigeria’s Informal Sector,” examined why millions of workers lack retirement security and detailed PenCom’s proposed solutions.
The Director-General of PenCom, Mrs. Omolola Oloworaran, reaffirmed the commission’s commitment to ensuring that every Nigerian, whether employed or self-employed, enjoys a secure and dignified retirement. Represented by the Head of Corporate Communications, Mr. Ibrahim Buwai, she stated that the new plan was designed to solve long-standing gaps in pension participation and strengthen financial inclusion.
Mrs. Oloworaran said Nigeria’s informal sector, estimated at 80 million people, remains largely uncovered by existing pension structures. This leaves artisans, traders, gig workers, and freelancers without the protection and benefits of structured retirement savings.
“This under-coverage means retirement security is still a distant dream for many Nigerians,” she said.
She explained that while the Micro Pension Plan introduced in 2019 recorded about 200,000 contributors and N1 billion in assets, more inclusive measures were needed. This led PenCom to redesign the scheme into the new Personal Pension Plan under its “Pension Revolution 2.0” initiative.
Outlining its features, she said the PPP offers broad eligibility for informal and self-employed workers, as well as voluntary contributors in formal jobs. Contributions will be flexible, and savers will be able to access 50% of their contributions for urgent needs.
“This plan is meant to address barriers like low awareness, irregular income, and complex registration processes,” she said.
Mrs. Oloworaran further announced that mobile money, POS, USSD, and digital wallets would be used through accredited agents and pension administrators to simplify participation. Contributors will also benefit from transparency through instant payment acknowledgements and real-time access to their statements.
She urged journalists to support PenCom by raising awareness and helping grassroots communities understand the benefits of enrolling.
Also speaking at the event, the Acting Chief Executive of the Pension Operators Association of Nigeria (PenOp), Ms. Anthonia Ifeanyi-Okoro, called for more innovation in the system. She described pensions as “a social contract that turns long years of labour into dignity and independence in old age.” She noted that the PPP provides the flexibility, digital tools, and simple onboarding designed for informal sector workers, adding that technology, education, and trusted agents would help millions join the pension system.
The President of PenCAN, Mrs. Nana Musa, said the association sees itself as a partner in national development. She noted that PenCAN aims to amplify stakeholder voices, highlight progress, and ensure accountability in the pension sector, and she commended stakeholders for their continued support.
