Micro Pension Contributions Hit N161.27m As At June 30, 2021

Mrs Aisha Dahir-Umar, DG, PenCom

The National Pension Commission (PenCom) has disclosed that participants under the Micro Pension Plan (MPP) contributed a total of N161.27 million as of June 30, 2021.

According to the commission, a total of 72,846 Nigerians in the informal sector have been registered into the pension net as of the end of November 2021, after three years of inception.

MPP offers numerous benefits to participants, aside from seeking to guarantee financial security for informal sector players, it aims to boost the country’s pension assets to over N20 trillion and also benefit the government with its potential to generate a pool of investible long-term funds that can drive economic development.

Micro Pension Plan is a long-term voluntary financial plan for the provision of pension coverage to the self-employed and persons working under organisations with less than three employees who are mainly in the informal sector.

It was put in place to curb old-age poverty by assisting people to contribute while working and have long-term savings they could fall back on when they become old.

MPP is voluntary against the CPS which is mandatory, and the amount to be contributed and the frequency of contribution is determined by the contributor while the commission has strict regulation and monitoring of the micro-pension scheme