Despite the impressive growth, infrastructure funds accounted for only 0.98% of the total Pension Funds’ Net Asset Value (NAV), which stood at N24.63 trillion as of June 2025.
Experts have repeatedly emphasized that Nigeria faces a massive infrastructure deficit, requiring up to $3 trillion in investments over the next 30 years to close the gap.
Findings from the latest report by the National Pension Commission (PenCom) show that Pension Fund Administrators (PFAs) committed N38.924 billion in corporate infrastructure bonds in H1’25, compared to N15.861 billion in H1’24—representing a 145.4% increase.
The Nigerian Economic Summit Group (NESG) has also warned that infrastructure deficits remain a key barrier to economic growth, limiting productivity and discouraging investments. In a statement signed by Ayanyinka Ayanlowo, Acting Head of Strategic Communication & Advocacy, NESG noted that well-developed infrastructure is vital to lowering the cost of doing business, expanding market access, and creating jobs.
Reacting to the development, Michael Oyebola, Managing Director of Money Counsellors, said:
“Pension Funds are beginning to see the benefits of playing in this segment—taking a more prominent role in financing infrastructure projects, particularly through vehicles like the Nigeria Infrastructure Funds and Infrastructure Bonds. This not only addresses Nigeria’s infrastructure gap but also ensures stable, long-term returns for retirees.”
He added that the outlook for Nigeria’s pension industry remains positive, with regulatory reforms and alternative investment opportunities driving expansion.
Similarly, David Adonri, Vice Executive Chairman of Highcap Securities Limited, attributed the growing interest in infrastructure investments to the high-yield environment. He stressed that stability in monetary and fiscal policies, alongside tackling inflation, will be crucial to protecting retirees’ long-term financial security.
With its growing asset base, diversification strategy, and regulatory support, the Nigerian pension industry is well positioned for sustained growth while contributing significantly to national development.
