Stanbic IBTC Pension Pays N261bn in 10 years

Stanbic IBTC Pensions Managers Limited has paid a total of N261 billion to retirees under its management since its inception in 2006.

The company, which said it currently has over 1.5 million Retirement Savings Account (RSA) holders nationwide with total assets of N1.88 trillion , also said it pays N1.8 billion to 44,000 retirees under its management every month.

Managing Director and Chief Executive Officer of Stanbic IBTC Pension Managers, Eric Fajemisin, who disclosed these at the recent employers’ forum organised by the PFA in Enugu, said the company is keen in having the over 73 million employed Nigerians enrolled in the Contributory Pension Scheme (CPS) to enable them benefit from its provisions, especially to plan for retirement, which is inevitable.

He also said the role of employers is very critical in the success of the scheme.

The Stanbic IBTC Pensions boss, who was represented at the forum by the Executive Director, Operations of the company, Mr. Steve Elusope, said the role of employers in the success of the scheme is pivotal as the Pension Reform Act specifically mandates them to help their workers have retirement plans through the opening of retirement savings accounts, funding of those accounts and regular remittance of their pension contributions. “There is a clear need to ensure the rapid growth of the CPS increasing its uptake by Nigerians. Latest figures from the Nigerian Bureau of Statistics showed that the country has 73.4 million working Nigerians. Of this number, only about 10 per cent (7.3 million) are captured in the CPS. This forum is designed to bring together employers and pension experts where knowledge and information can be shared on the pension business and how to increase participation in the scheme,” Fajemisin said.

He said the employers’ forum, themed: ‘Partnering to Deliver Excellent Pension Administration Services,’ will be held in eight cities across the country this year.

According to him, the first edition, was held in Benin, Edo State in March, adding that the initiative, was launched in 2014 as a platform to engage with employers, as a crucial anchor of the pension scheme, to sign up to the CPS.

He said this year’s forum is focused on derivable benefits of participating in the pension scheme such as safeguards put in place to protect pension funds; expected participants in the pension scheme; ways to enhance collaborations to move Nigeria’s pension industry forward; the role of an employer/ employee in the CPS; the challenges and the opportunities in the pension industry; and how pension assets can be deployed to support sustainable development in the country.

He said other important issues to be examined are contributors’ access to their RSAs, claims processing, withdrawal from the pension scheme,and returns on investment on pension funds, annuity and regulatory oversight, among others.

Also speaking, Head, Computation and Remittance, National Pension Commission, Alhaji Mohammed Usman, who described the session as a positive experience, said the defined contribution accounts as defined in the PRA 2014 has become a very important income source for post-retirement comfort which must be embraced by all.