✕ CLOSE Online Special City News Entrepreneurship Environment Factcheck Everything Woman Home Front Islamic Forum Life Xtra Property Travel & Leisure Viewpoint Vox Pop Women In Business Art and Ideas Bookshelf Labour Law Letters

WPS: Investment returns, social security dominate discussions

Investment returns, risks, social security and innovations in the pension industry dominated discussions at the just concluded 3rd edition of the World Pension Summit (WPS)…

Investment returns, risks, social security and innovations in the pension industry dominated discussions at the just concluded 3rd edition of the World Pension Summit (WPS) Africa Special held in Abuja.
Panelists, discussants and speakers from both the public and private sector discussed emerging trends in the pension sector, financial inclusion, emerging insurer role, the dynamics of pension investment, the impact of technology, actuarial benefits and their impact on pension benefits and the outlook for African pension funds.
Former President Olusegun Obasanjo and President Muhammad Buhari set the tone for the discussions as both of them expressed confidence in the pension sector, especially the contributory pension system.
While Obasanjo called for caution in the management of pension funds, Buhari, represented by the Head of the Civil Service of the Federation, Winifred Oya-Ita, directed the National Pension Commission (PenCom) to enforce compliance with the pension reform law in both public and private sectors.
The Contributory Pension Scheme has generated over N5.83 trillion worth of pension assets as at 20 June 2016 which are invested in various sectors of the Nigerian economy.
Amid calls for investment of pension funds in infrastructure development by some participants at the Summit, one of the panelists, who is also the Chairman of the Board of Trustees of the Muhanna Foundation, Ibrahim Muhanna,  said he was opposed to funding infrastructure with pension funds.
He said infrastructure investments do not yield returns and this would affect the retirement savings considering the effect of inflation on such funds in the long run.
The anchor of the plenary one, Wole Famurewa of CNBC Africa, raised concerns on the non-inclusion of health insurance into the pension system in Nigeria.
Famurewa opened discussions on how health insurance can be included in the CPS in Nigeria just like some other countries that practice the scheme.
The Managing Director of Boulders Advisors Limited, Ghana, P. K. Kuriachen, advocated for inclusion of health insurance in the contributory pension system as is the case in Ghana.
Kuriachen said 2.5 percent of retirement contributions in Ghana are remitted directly into health insurance for the benefit of workers when they retire.
He said by this, health care for retired workers are covered as well as their financial security in retirement.
The Director General of the PenCom, Chinelo Anohu-Amazu, dwelt on innovations in the pension industry and the growth recorded in recent years.
She linked the growth to the expanding economy of Africa, which has seen GDP growth rate of about 5 percent in recent years.
There was optimism that pension fund in Africa, and Nigeria in particular, can be leveraged upon to develop the continent and liberate it from infrastructural deficit impeding its economic prosperity.

Are you currently earning in Naira but need salary/earnings in Dollars? You have an opportunity to earn as much as $10,000 (₦9.2 million naira) monthly. Click here to get evidence.

%d bloggers like this: