Public sector pension remittances saw a dramatic increase of 234.85%, reaching N550.96 billion in the fourth quarter of 2025. This surge was detailed in the Q4 2025 Quarterly Industry Report released by the National Pension Commission (PenCom).
Overall, total pension contributions for Q4 2025 amounted to N903.7 billion. The private sector contributed N352.74 billion during the same period.
The significant rise in public sector remittances is attributed to improved compliance and the settlement of outstanding arrears across various government organizations. PenCom noted that contribution discipline is improving, with public sector remittances rising sharply on the back of pension increases and arrears settlement, while private sector remittances grew by 4.16%.
Federal Government legacy obligations are being met, with N30.06 billion paid to 8,770 retirees and deceased contributors as accrued rights.
PenCom's report also indicated continued asset accumulation, with Net Asset Value (NAV) rising to N27.45 trillion in December 2025, an increase of N1.36 trillion from N26.09 trillion recorded in September 2025. This growth was primarily driven by equity revaluation rather than new contributions.
Enforcement efforts are yielding results, with N387.79 million recovered from 16 defaulting employers in Q4 2025. This brings the cumulative recoveries since 2012 to N32.75 billion.
Digital compliance is also on the rise, with 4,560 electronic Pension Clearance Certificates (ePCCs) issued in Q4, covering N23.62 billion for 61,891 employees. A total of 114,864 new Retirement Savings Accounts (RSAs) were onboarded in Q4, bringing the total number of RSAs to 11,042,903. Notably, 74% of contributors are under the age of 40.
However, PenCom identified two structural issues: real returns across all RSA funds remain below inflation over a 36-month basis, and 92% of registered Personal Pension Plan (PPP) accounts remained dormant with no contributions in Q4.
Compliance with the Contributory Pension Scheme (CPS) varies significantly by state. Only eight out of 36 states and the Federal Capital Territory (FCT) were fully compliant. The top five Pension Fund Administrators (PFAs) accounted for 62.11% of new RSAs, with the top two alone contributing 39.71%.
Nigeria's total pension assets reached N29.43 trillion in February 2026, marking a month-on-month increase of N1.39 trillion, the highest recorded since the introduction of the CPS over two decades ago.
