The National Pension Commission (PenCom) has set December, 2020 to open the window for holders of the Retirement Savings Account (RSAs) to transfer from one Pension Fund Administrator (PFA) to another.
The Commission in a statement, revealed that it has developed the RSA Transfer System (RTS), an electronic platform for seamless RSA transfers, through and for submission of RSA transfer requests.
“The Commission was unable to carry out these activities as planned due to the nationwide lockdown because of the COVID-19 pandemic. Subsequent to the easing of the lockdown by the Federal Government and the lifting of the ban on interstate travels between the end of June and July, 2020, the preparations for a comprehensive training plan was concluded,” PenCom said.
Daily Trust learnt PenCom is currently workshops on this for operators since August 10 to 28, 2020. It will also hold a simulation of the transfer processes September.
“The opening of the transfer window will facilitate full and equitable pension assets portability within the pension industry, enhance ethical competition amongst PFAs and improve service delivery to RSA holders.”
…Act review to clear errors
Meanwhile it said the on-going review of the Pension Reform Act, 2014 (PRA, 2014) was to correct errors and anomalies in the legislation.
Recently, the Acting Director General of PenCom, Aisha Umar-Dahir, said the move was to address “persistent clamour for amendment from individuals and interest groups as well as several legislative attempts on the amendment of some Sections of the PRA 2014.”
PenCom, through the proposed amendments, seeks to “amend to read that the appointment of the Executive Secretary of the Pension Transitional Arrangements Directorate shall be made by the President” and not by the Minister of Finance, Budget and National Planning.
It also said there are 14 typographical and cross-referencing errors in the pension act. To correct the error, PenCom wants “to amend the figure 20% to read 18% in order to align with Section 4(1)”.
