…Targets Nigeria’s Underserved Informal Sector

…PenCom Endorses New PFA for Inclusive Financial Security

By Chioma Obinna

The Managing Director of Citizens Pensions Limited, Mrs. Helen Da-Souza, has stated that the official launch of the new Pension Fund Administrator (PFA) in Lagos marks a significant step toward transforming Nigeria’s pension landscape, with a strong focus on the underserved informal sector.

Licensed by the National Pension Commission (PenCom), Citizens Pensions aims to drive financial inclusion and secure the retirement of millions of Nigerians, particularly artisans, market traders, small-scale entrepreneurs, subsistence farmers, and self-employed individuals often overlooked by traditional financial institutions.

Unveiling the company’s vision to be a “trusted partner for a secure and prosperous retirement,” Da-Souza emphasized its mission to empower individuals and institutions to achieve their long-term financial goals.

A key initiative is the Micro Pensions Plan, designed to provide a structured, accessible, and user-friendly platform for informal sector workers.

“The informal sector is the heartbeat of Nigeria’s economy. Citizens Pensions will directly address the barriers these workers face by offering a flexible, affordable, and secure pension scheme, allowing individuals to save conveniently through digital and mobile-enabled solutions,” she explained.

She further stressed the importance of financial literacy, stating, “We will embark on an extensive education campaign to ensure Nigerians understand their pension contributions and avoid misconceptions.”

Speaking at the launch, Chairman of Citizens Pensions, Chukwuka Onwuchekwa, emphasized the need for collaboration across sectors to build a transformative pension system.

“We envision a system where enrolling for a pension plan is as easy as sending a text message, where contributions are transparent and accessible in real-time, and where customers can trust that their future is secure,” he said.

Onwuchekwa highlighted the company’s commitment to serving both the formal and informal sectors with services including:

Retirement Savings Accounts (RSAs)

Approved Existing Scheme/Legacy Funds

Voluntary Contributions

Cross-Border Pensions

Additional Benefits Schemes (ABS)

“Nigeria, with its dynamic population and unique challenges, presents an incredible opportunity to embrace a future where pensions are not just an obligation but a cornerstone of financial empowerment,” he added.

The Director-General of PenCom, Omolola Oloworaran, represented by Mr. Akinsola Adeseun, commended Citizens Pensions for entering the market, stating that its presence would contribute to the growth and stability of Nigeria’s pension sector.

“This expansion reflects the growing confidence in the Contributory Pension Scheme (CPS) and underscores PenCom’s commitment to fostering a competitive, inclusive, and sustainable pension industry,” Oloworaran noted.

With assets under management exceeding N22.5 trillion and over 10.5 million RSA holders, Nigeria’s pension industry is experiencing significant growth. The approval of new PFAs aligns with PenCom’s strategic objectives to enhance efficiency, deepen financial inclusion, and provide customer-centric solutions.

Citizens Pensions aims to leverage technology to streamline processes, enhance customer experience, and ensure integrity and service excellence in pension administration.