Govt pension contribution drops to 16-year low as poor finances hit workers

The federal government and states are having a difficult time, and civil servants are already experiencing the consequences.

According to data obtained from the National Pension Commission (PenCom) on Friday, Nigerian workers both public and private received N191.44 billion pension contribution in first-quarter 2022.

Out of this total, the public sector accounted for N90.33 billion or 47.18%, while the private sector contributed N101.11 billion or 52.82%.

Read also: Collateral victims of disease and economic hardships are black and poor

The amount contributed by states and federal government in the Q1, 2022 is the lowest amount since 2007 when it stood at N80.63 billion.

At the same time of Q1, 2021, federal and states government contributed $116.13 billion.

Meanwhile, PenCom said the cumulative pension contributions from inception to the end of the first quarter of 2022 amounted to N7.77 trillion, which is an increase from N7.58 trillion as at the end of Q4:2021.

The aggregate pension contributions of the public sector increased from N3.92

trillion to N4.02 trillion as at the end of Q1:2022.

Similarly, the aggregate pension contributions of the private sector increased from N3.66 trillion to N3.76 trillion as at Q1:2022.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now