By The Ameh News
Nigeria’s pension reform journey has received another major endorsement on the African stage as the National Pension Commission (PenCom) welcomed a high-level delegation from Kenya’s Retirement Benefits Authority (RBA) for a four-day technical study visit aimed at understudying the country’s pension regulatory framework and reform achievements.
The visit, taking place in Abuja from June 8 to 11, 2026, underscores Nigeria’s growing reputation as a continental model for pension governance, regulatory innovation, and retirement security. It also highlights the increasing influence of Nigeria’s Contributory Pension Scheme (CPS), which has transformed from a struggling pension environment into one of Africa’s most successful retirement savings systems.
The four-member Kenyan delegation is led by Mr. John Keah, Director of Market Conduct and Industry Development at the RBA, who described the engagement as a strategic learning opportunity designed to strengthen Kenya’s pension sector through practical lessons from Nigeria’s experience.
Speaking during the opening session in Abuja, Keah noted that both countries share similar pension-sector characteristics, making Nigeria’s reform trajectory particularly relevant to Kenya’s ongoing efforts to deepen retirement coverage and improve pension outcomes.
“We are here to learn from Nigeria’s experiences and assess how some of those lessons can be adapted to our own environment. We are particularly interested in PenCom’s Environmental, Social and Governance (ESG) initiatives, its risk-based supervision framework, strategies for expanding pension coverage to the informal sector, and the Diaspora Pension Arrangement,” he stated.
Keah commended the governance safeguards built into Nigeria’s pension architecture, describing them as critical pillars that have enhanced public confidence and accountability in the system.
He also singled out the Diaspora Pension Arrangement as one of the most innovative policy initiatives on the continent, noting that it could become a powerful tool for boosting retirement security among citizens living abroad while reducing poverty among ageing populations.
From Pension Crisis to ₦32 Trillion Asset Base
Receiving the delegation, PenCom Director General, Ms. Omolola Oloworaran, reaffirmed Nigeria’s commitment to regional cooperation and knowledge sharing among African pension regulators.
Represented by the Director of Surveillance Department, Abdulrahaman Muhammad Saleem, the PenCom DG highlighted the remarkable transformation recorded since the introduction of the Contributory Pension Scheme in 2004.
According to her, pension assets under management have now surpassed ₦32 trillion, representing approximately 10.4 percent of Nigeria’s Gross Domestic Product (GDP)—a milestone that reflects over two decades of sustained reforms and prudent regulation.
Industry analysts note that the growth of pension assets from less than ₦300 billion at the inception of the CPS to over ₦32 trillion today demonstrates one of the most successful examples of long-term financial sector reform in Africa.
Oloworaran attributed the industry’s growth to consistent regulatory improvements, stronger corporate governance standards, enhanced compliance mechanisms, and a supervisory framework focused on protecting contributors’ funds while ensuring sustainable retirement outcomes.
“The growth of pension assets over the years reflects the sustained success of Nigeria’s pension reform programme and the resilience of the regulatory framework established to safeguard contributors’ interests,” she stated.
Historic Settlement of Pension Liabilities
A major highlight of the presentation was PenCom’s emphasis on the Federal Government’s recent settlement of outstanding accrued pension rights liabilities—an intervention widely regarded as one of the most significant developments in the history of the CPS.
For years, many retirees from Treasury-Funded Ministries, Departments and Agencies (MDAs) experienced prolonged delays in accessing their accrued pension rights because of funding shortfalls and delayed budgetary releases.
According to PenCom, the issuance of a Federal Government bond to settle these liabilities has fundamentally changed the retirement experience for public sector workers.
“The issuance of a Federal Government bond to settle accrued rights liabilities has transformed the retirement experience for public sector employees. Accrued pension rights are now transferred directly into retirees’ Retirement Savings Accounts, enabling immediate access to investment returns and eliminating lengthy waiting periods,” the DG explained.
The development has been widely welcomed by pension stakeholders, who see it as a critical step toward restoring confidence in the retirement system and improving retirees’ welfare.
Why Kenya Is Looking to Nigeria
The Kenyan delegation’s interest in Nigeria’s pension framework reflects broader trends across Africa, where regulators are increasingly seeking sustainable solutions to ageing populations, low pension penetration, informal sector inclusion, and long-term capital mobilisation.
Nigeria’s adoption of risk-based supervision, ESG integration, digital compliance systems, and innovative pension inclusion strategies has attracted growing attention from regulators and policymakers beyond its borders.
Particularly noteworthy is Nigeria’s ongoing push to expand pension participation among informal sector workers through the Micro Pension Plan and its efforts to attract retirement savings from Nigerians in the diaspora.
Experts say these initiatives could significantly increase pension penetration while providing additional long-term capital for national economic development.
Strengthening Africa’s Pension Future
The technical study visit, themed “Risk-Based Supervision and ESG Integration in Pension Funds,” includes intensive presentations by various PenCom departments, interactive policy sessions, and field visits to selected Pension Fund Administrators (PFAs).
The programme will conclude with a comprehensive feedback session focusing on lessons learned, emerging pension risks, and future opportunities for collaboration between the two regulatory bodies.
Observers believe the engagement marks an important step toward building stronger institutional partnerships across Africa and promoting the adoption of global best practices in pension administration.
As African countries seek to strengthen retirement security amid changing demographics and economic pressures, Nigeria’s pension reform experience is increasingly emerging as a reference point for policymakers across the continent.
The visit by Kenya’s pension regulators not only validates the progress achieved under Nigeria’s Contributory Pension Scheme but also reinforces the country’s growing influence in shaping the future of pension regulation and retirement security in Africa.
Kenya’s Retirement Benefits Authority visits Nigeria to study PenCom’s pension reforms as pension assets surpass ₦32 trillion, positioning Nigeria as a leading model for retirement security and pension regulation in Africa.
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