Lagos, Nigeria — The National Pension Commission (PenCom) has described the Pension Reform Act (PRA) 2004 as one of the best and most impactful policies in Nigeria’s socio-economic history, noting that it has transformed the nation’s pension landscape and restored dignity to retirees.
Speaking in Lagos, the Director-General of PenCom, Ms. Omolola Oloworaran, said the enactment of the PRA 2004 marked a turning point by resolving the long-standing challenges and delays that plagued the old Defined Benefit Scheme (DBS).
She noted that the reform ushered in the Contributory Pension Scheme (CPS), which guarantees that retirees now receive their entitlements promptly and transparently.
“The drive behind what I call Pension Revolution 2.0 is to build on the solid foundation already established by the CPS,” Oloworaran said. “The scheme has been effective — today, retirees are collecting their benefits as and when due. This next phase is focused on strengthening the system, deepening compliance, and clearing all outstanding liabilities.”
The PenCom boss emphasized that the Commission remains committed to expanding coverage of the CPS to all sectors, including the informal economy, to ensure that every Nigerian worker enjoys retirement security.
She added that PenCom is intensifying public education and enforcement of pension laws to sustain confidence in the system and promote financial inclusion for all categories of workers.
“Our goal is to consolidate the gains of the last two decades and create a more resilient and inclusive pension system that serves both current and future generations,” she stated.
The Pension Reform Act 2004, later amended in 2014, established the Contributory Pension Scheme to address inefficiencies in the previous system, ensure timely payment of retirement benefits, and promote accountability in pension management across public and private sectors.
