Wednesday, 2 September 2015

Buhari wants all states to embrace contributory pension scheme

Anohu-Amazu with President Buhari

Chuks Udo Okonta 

President Muhammadu Buhari today urged the National Pension Commission (PenCom) to work with the National Economic Council (NEC) to ensure all the states embrace the Contributory Pension Scheme (CPS).

The Director-General PenCom Mrs. Chinelo Anohu-Amazu, disclosed this after briefing the president on the state of the pension industry.

She noted that the president has instructed that the issues raised by the retirees, should be addressed, while the commission works with NEC to ensure that the states that are yet to embrace the scheme are encourage to join.

PenCom in a report released recently said only nine states had commenced remittance of contributions into the Retirement Savings Accounts of their employees.

Members of the Executive Committee of the National Pension Commission at the briefing with  President Muhammadu Buhari on the activities of the Commission in Abuja today.

According to the report, the states are, Lagos; Delta; Rivers; Kaduna; Zafara; Niger; Ogun; Osun and Anambra. It noted that out of the nine states, only seven of them are funded, while those of Kaduna and Zafara are not funded.

It said the total value of pension assets increased from N4,611.29 billion as at the end of the fourth quarter of 2014 to N4,746.00 at the end of the first quarter of 2015, representing an increase of N134.71 billion (2.92 per cent).

The Commission said as at the end of the first quarter, 26 states governments had enacted laws on the contributory pension scheme, while the remaining 10 were at the bills stage.

It noted that six states have commenced the funding of their Retirement Benefit Bond Redemption Fund Accounts (RBBRFAS), adding that the states are: Lagos which had remitted N10 billion; Osun, N1.15 billion; Osun Local Government, N2.27 billion; Ogun, N1.43 billion; Delta State Bureau N5.53 billion; Delta Local Government N3.34 billion; Rivers N3.10 billion and Niger N9.10 billion.

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