The Director-General of PenCom, Omolola Oloworaran, made this known during a workshop on the Contributory Pension Scheme held in Abuja on Wednesday. Represented by the Director of the Contributions and Bond Redemption Department, Mr Usman Musa, she said the initiative is part of the commission’s efforts to ensure dignity, welfare, and social security for retirees.
According to her, the new programme forms part of PenCom’s “Pension Revolution 2.0” reforms, aligned with President Bola Tinubu’s social protection agenda to improve the lives of senior citizens.
“Free health insurance for retirees will begin later this year, starting with pensioners in lower-income categories, ensuring dignity and security beyond financial pensions,” Oloworaran said.
She noted that the Contributory Pension Scheme had significantly transformed Nigeria’s pension system, covering over 10 million contributors with assets exceeding ₦25 trillion.
Currently, more than 844,000 retirees receive benefits — 552,000 as monthly pensioners and 291,735 as lump-sum beneficiaries.
Among recent reforms, PenCom introduced Pension Boost 1.0, which increased monthly payments for 241,000 retirees from ₦12.16 billion to ₦14.84 billion, effective June 2025. It also eliminated waiting times for pension disbursement beginning July 2025.
The Federal Government, she added, has approved ₦758 billion in bonds to offset long-standing pension arrears, including unpaid increases dating back to 2007.
Oloworaran further disclosed ongoing plans to reintroduce gratuity payments for federal workers under the Contributory Pension Scheme in collaboration with the Office of the Head of the Civil Service of the Federation.
She reaffirmed PenCom’s commitment to safeguarding contributors’ funds, enhancing transparency among pension fund administrators, and improving the welfare of retirees through both financial and social protection measures.
Also speaking, Chairman of the National Salaries, Incomes and Wages Commission (NSIWC), Mr Ekpo Nta, represented by Akin Abe, praised the initiative as a major step toward strengthening pensioners’ welfare and ensuring sustainable post-retirement living.
He recalled that Nigeria’s first pension law was enacted in 1951 under the Pension Ordinance and evolved into the Contributory Pension Scheme (CPS) in 2004, later amended in 2014.
Nta commended the Tinubu administration’s reforms, saying the collaboration between PenCom and the NSIWC would improve efficiency and ensure that retirees receive their benefits promptly and without bottlenecks.
