The Nigerian pension industry is driving growth in the real sector, committing a total of ₦5.51 trillion to asset classes that support long-term financing. These investments cover infrastructure, private equity vehicles, real estate, and subnational infrastructure initiatives, among others.
The Director General of the National Pension Commission (PenCom), Ms. Omolola Oloworaran, stated this during a meeting with a delegation from the International Monetary Fund (IMF), which visited the Commission on 7 April 2025 as part of the Fund’s 2025 Article IV Consultations.
The delegation, led by Mr. Jose De Luna, Senior Financial Sector Expert, held discussions with PenCom’s key officials on matters relating to the pension industry and broader financial sector developments.
Represented by the Head, Surveillance Department, Abdulrahaman Muhammad Saleem, the Director General told the delegation that pension fund investments in the real sector of the economy are indicative of the pension industry’s vital role in providing funding for key economic growth and development in Nigeria.
In a presentation to the delegation, PenCom said the industry Net Asset Value (NAV) increased by 22.65% from N18.36 trillion as of 31 December 2023 to N22.51 trillion as of 31 December 2024. The growth was attributable to additional contributions received and investment income.
The Director General decried the limited availability of investable instruments that meet the minimum requirements for pension funds’ investments in Nigeria currently. She told the delegation that only 86 investable instruments, constituting part of the pension broad index, meet the minimum quality requirement for pension fund investments that are liquid and have the required free float. This is despite the numerous provisions made in the Investment Regulation to foster increased eligible investment outlets.
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