The news about the Micro Pension Scheme (MPS) is one that is beautiful to all the stakeholders in the Pension Industry in Nigeria.
Prior to this moment, the government has mapped out a plan to include self- employed and persons operating in the informal sector to the financial services via the financial inclusion programmes of the Central Bank of Nigeria. To better leverage on the financial inclusion programmes of the government, the National Pension Commission has planned to commence Micro Pension Scheme in the first quarter of 2019.
According to the National Pension Commission, the MPS is designed to attract self-employed Nigerians with irregular income, working in the informal sector and the financially uninformed to the Contributory Pension Scheme (CPS). Also, the flexibility of the MPS is such that, it is easy for people to subscribe seamlessly while contribution into the scheme has been designed to cater for daily, weekly, monthly and quarterly contributors.
There is a 5-year plan to ensure about N3trillion is added to the current total asset of the CPS by the end of 2024. Total Asset under the CPS is about N8.5Trillion at the moment.
The benefit of this however is unlimited. With the injection of about N3trillion via the MPS, the economy is boosted through availability of funds to aid investment of funds for economic growth and development which would in a long way create employment opportunities for the Nigerian Youths and Graduates.
Given the preparedness of the National Pension Commission to commence its operation by the first quarter of 2019 and the enthusiasm of the Pension Fund Administrators, the potential in the informal sector is immeasurable.
Upon commencement of the MPS, the Contributory Pension Scheme is set to receive a new lease of life.
In addressing the concerns of the people, the MPS has the same safety mechanism with the CPS given the separation of duties in the management of pension assets by the P.F.As, custodian of assets the PFCs and the Regulator (PenCom).
Other benefits of the MPS are such that, contributors are afforded the opportunity to connect to other programmes of government at the same time. The government is also assisted in the financing of infrastructures in Nigeria while boosting the Gross Domestic Product of the economy.
As we get ready for the commencement of MPS, we are open to all your questions and enquiries. Please, call: 014482539-31