By Bisi Bamishe
National Pension Commission (PenCom) has introduced new guidelines, to strengthen the presence of Pension Fund Administrators (PFAs) in states.
The new guideline is aimed at improving the accessibility and efficiency of Pension Fund Administrators (PFAs) across Nigeria as the updated directive sets clear requirements for opening and managing branch offices and service centers, ensuring better service delivery to Retirement Savings Account (RSA) holders.
Under the new rules, PFAs must establish a branch in any state where they manage at least 10,000 funded RSAs. For every additional 10,000 RSAs in the same state, they are required to open a new service center in a different location. This expansion is expected to improve pension services, making it easier for contributors and retirees to access their funds.
A major update also mandates PFAs administering pensions for state government employees under the Contributory Pension Scheme (CPS) to set up a branch office in the state capital once the government begins funding the scheme. This move ensures that public sector workers have direct access to pension-related services.
Beyond expanding reach, PenCom’s directive also sets operational standards, covering staffing, infrastructure, and the procedures for relocating or closing branches. Non-compliance with these rules will attract sanctions, reinforcing the commission’s commitment to improving the sector.
With these measures, PenCom seeks to strengthen the presence of PFAs, making pension services more accessible while ensuring seamless operations. The new framework is expected to provide contributors and retirees with faster, more reliable pension services nationwide.
