About 62,406 contributors to the old Nigerian Social Insurance Trust Fund scheme have applied to transfer their money to new pension administrators, the Director-General, National Pension Commission, Mr. Muhammad Ahmad, has said.

The figure represents about 4.8 per cent of the 1.3 million contributors under the old NSITF scheme.

Ahmad, who spoke in Lagos on Thursday through the Head, Investment Supervisor Department, PenCom, Mr. Ehimemem Ohioma, at the NECA/PenCom Interactive Session on the Pension Reform Act 2004, said that the transfer began in July 2009.

He, however, said that the Pension Fund Administrators were visiting the organisations whose workers belonged to the old scheme to assist in the transfer.

He also said that out of the eight million employees in Nigeria, about 4.7 million had been registered with Retirement Saving Accounts.

According to him, this is a positive response to the scheme.

He said, “The Contributory Pension Scheme has accumulated N2.3tn investible funds that will assist in the economic development of the country.”

He added that that the scheme was still facing some challenges, which were hindering it from achieving its full potential.

Ahmad noted, “There are still challenges in the implementation of CPS, including the failure or refusal of some ministries, departments and agencies to provide the nominal rolls to enable the commission credit their employees RSA with the monthly pension contributions.”

He also lamented that some public sector employees still had zero balance in their RSAs.

Again, he added that one major challenge was the unwillingness of some private sector organisations to join the CPS while others failed to remit the monthly contributions as and when due.

He, therefore, called on the relevant government agencies to ensure that all MDAs submitted their nominal rolls bi-annually.

He also added that the commission would engage recovery agents to follow up on outstanding pension contributions from defaulting private sector employers.

The Director-General, Nigeria Employers’ Consultative Association, Mr. Segun Oshinowo, who was represented by Mr. Timothy Olawale, said that there was a need to review the impact of the scheme in the country.

According to him, there is a need to monitor the development of the scheme since inception.

He said, “There are concerns on accessing the funds, fees as well as pension scheme before the Pension Reform Act 2004 which need answers.”

Source: Punch