Recapitalisation Major Step To Strengthening Pension Industry Resilience — PenCom DG

The Director-General of the National Pension Commission (PenCom) has described the ongoing recapitalisation of Licensed Pension Fund Operators (LPFOs) as a major step towards strengthening the financial resilience and long-term sustainability of Nigeria’s pension industry.

Speaking at the Commission’s 2025 Customer Service Week Seminar held in Abuja with the theme “Mission Possible,” the DG said the recapitalisation exercise is central to PenCom’s reform agenda aimed at fortifying the pension sector against shocks, improving efficiency, and protecting contributors’ funds.

“The recapitalisation requirement for Licensed Pension Fund Operators is a major step towards strengthening the financial resilience of the pension industry,” the DG stated.

“It ensures that operators are adequately capitalised to secure pension assets, promote healthy competition, and maintain public confidence in the system.”

She explained that with the continuous growth of pension assets and the expanding participation base of the Contributory Pension Scheme (CPS), recapitalisation has become critical to align the industry’s capital structure with its operational and investment realities.

The DG said the initiative forms a core part of the Commission’s new reform framework tagged “Pension 2.0,” which focuses on innovation, inclusion, and integrity as key drivers of Nigeria’s next phase of pension development.

Under the Pension 2.0 agenda, the Commission has introduced several landmark reforms, including the Guideline on the Administration of Retirement Savings Accounts in Foreign Currency, which allows Nigerians in foreign employment or the diaspora to participate in the CPS, and the Guideline on the Personal Pension Plan (PPP), designed to bring self-employed and informal sector workers into the pension net.

To drive inclusion and nationwide coverage, PenCom has also developed the Framework for the Engagement of Accredited Pension Agents, who will market and sell the Personal Pension Plan, especially in underserved and rural areas.

In addition, the Commission recently issued Revised Guidelines for Corporate Governance for LPFOs, aimed at strengthening ethical conduct, accountability, and transparency within the industry — a necessary complement to the recapitalisation policy.

“Recapitalisation, combined with strong governance standards, ensures that operators are not only financially sound but also accountable to contributors and retirees,” the DG said. “Our mission is to build a sustainable and customer-focused pension system that Nigerians can trust.”

She added that the Commission will continue to modernise pension operations through digital innovation, improved service delivery, and stakeholder collaboration, noting that “Pension 2.0” is not just a reform but a transformation of customer experience.

The DG commended all stakeholders, including pension fund operators, employers, the media, and government agencies, for their continuous partnership in promoting retirement security across the country.

“With collaboration, innovation, and commitment, we are demonstrating that the mission to deliver a resilient and transparent pension industry is not only possible but already being realised,” she concluded.

Also, in her address, Mrs. Ngozi Akinbodewa, head of operations at SERVICOM represented by Duruba Sesugh Desk Officer SERVICOM, charged PenCom to ensure that retirees get their benefits as of

She said the Customer Service Week Celebratio is to celebrate the hard work and dedication of employees who strive to create positive customer experiences.