The Commission disclosed this as a four-member delegation from Kenya’s Retirement Benefits Authority (RBA) arrived in Abuja on Monday to study the frameworks that have driven that growth over more than two decades of reform.

The Kenyan delegation, led by John Keah, director of Market Conduct and Industry Development at the RBA, is on a four-day technical study visit running from June 8 to 11, 2026, themed “Risk-Based Supervision and ESG Integration in Pension Funds.”

The visit marks a significant acknowledgement of Nigeria’s emergence as a reference point for pension reform and regulatory innovation on the African continent.

According to a statement from the commission, Keah said the engagement reflects the importance of cross-border learning among pension regulators seeking to strengthen retirement systems and improve outcomes for their citizens.

He noted that Kenya and Nigeria share several structural similarities in their pension landscapes, making Nigeria’s experiences directly relevant to ongoing reforms in Nairobi.

“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 ESG initiatives, risk-based supervision framework, strategies for expanding pension coverage to the informal sector and the Diaspora Pension Arrangement.”

Keah also commended the governance safeguards embedded in Nigeria’s pension architecture and described the Diaspora Pension Arrangement as an innovative initiative with significant potential to enhance retirement security and reduce old-age poverty. He said the arrangement was among the key areas his team had specifically come to examine.

Receiving the delegation on behalf of PenCom director general Omolola Oloworaran, Abdulrahaman Muhammad Saleem, director of the Surveillance Department, highlighted the remarkable trajectory of Nigeria’s Contributory Pension Scheme (CPS) since its introduction in 2004.

He said the growth of pension assets to over N32 trillion reflects the sustained success of structural reforms implemented over more than two decades.

The DG attributed the industry’s expansion to consistent regulatory reforms, stronger governance standards, and enhanced supervisory mechanisms designed to protect contributors’ funds and improve retirement outcomes.

She reaffirmed Nigeria’s commitment to knowledge sharing and regional collaboration as part of efforts to strengthen pension systems across Africa.

Oloworaran also described the federal government’s recent settlement of outstanding accrued pension rights liabilities as one of the most significant milestones in the history of the CPS.

She explained that the intervention addressed a longstanding challenge that had left many retirees from Treasury-Funded Ministries, Departments and Agencies (MDAs) facing prolonged delays in accessing their retirement benefits due to funding constraints and irregular budget releases.

“The issuance of a federal government bond to settle the 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,” she stated.

The study visit programme features presentations and interactive sessions by several PenCom departments, study visits to selected Pension Fund Administrators (PFAs), and a concluding feedback session on lessons learned, emerging risks, and future areas of collaboration between the two regulatory bodies.

The engagement is expected to deepen bilateral cooperation between Nigeria and Kenya while fostering the exchange of regulatory best practices that support the development of more resilient, inclusive, and sustainable pension systems across the continent.

PenCom said it remains focused on advancing reforms that will further strengthen governance, enhance retirement security, and ensure the long-term sustainability of the CPS.

The figure represents a 22.64% year-on-year increase from ₦22.86 trillion recorded in January 2025, highlighting continued expansion of the country’s contributory pension scheme.

Data from the industry report also shows that the number of Retirement Savings Account (RSA) holders has surpassed 11 million, reaching 11,084,127 registered contributors as of January 2026.

Strong asset growth

The pension industry added about ₦580.22 billion in a single month, growing from ₦27.46 trillion recorded in the previous period, reflecting steady inflows from contributions and improved investment performance.

On an annual basis, the industry recorded an increase of ₦5.17 trillion in pension assets, underscoring the growing role of pension savings in Nigeria’s financial system.

Government securities dominate investments

Nigeria’s pension funds remain heavily invested in Federal Government securities, which account for ₦16.69 trillion of the total portfolio.

Among these, Federal Government bonds represent the largest allocation, valued at ₦13.16 trillion, while other investments include treasury bills, Sukuk bonds, and green bonds.

Exposure to equities and corporate debt

Beyond government securities, pension fund administrators also maintain strong exposure to capital markets.

Investments in domestic ordinary shares stand at ₦4.29 trillion, while corporate debt securities are valued at ₦2.24 trillion, including corporate bonds and infrastructure bonds.

To maintain liquidity, the industry holds ₦2.75 trillion in money market instruments, largely in fixed deposits and bank acceptances.

Diversification into alternative assets

Pension funds are also diversifying into alternative investment classes. Current allocations include:

• Infrastructure funds: ₦292.32 billion
• Private equity: ₦241.85 billion
• Real estate: ₦170.04 billion
• Mutual funds: ₦240.49 billion

These investments are aimed at improving returns and supporting long-term economic development.

RSA Fund II remains the largest

Among the pension fund categories, RSA Fund II, which primarily serves active contributors below the age of 49, remains the largest with ₦11.86 trillion in assets.

It is followed by RSA Fund III with ₦7.19 trillion, while the retiree-focused Fund IV holds ₦2.27 trillion.

Industry analysts say the continued growth in pension assets reflects rising participation in the contributory pension scheme and sustained investment activity by pension fund administrators.