The House of Representatives has resolved to examine the state of pension funds and to recover the N10 trillion loaned to the Federal Government.
The name was a sequel to a unanimous adoption of a movement sponsored by Rep. Aliyu Misau (PDP-Bauchi State) on the plenary on Tuesday.
Moving the movement earlier, Mr Misau stated that the Retirement Saving Accounts, RSAs, are the lifelines that pensioners rely on to cater to their wants upon retirement.
He stated that the majority pensioners are unable to entry their retirement funds despite complying with the necessities of the contributory pension scheme.
According to him, neither the National Pension Commission, PenCom, nor the Pension Fund Administrators, PFAs, have been ready to guarantee immediate fee of entitlements.
“Aware that the pension fund assets which PenCom regulates, being the proceeds of the contributory pension scheme and returns on investment, stood at more than N15.5 trillion at the close of the first quarter of 2023,
“There is no justification for retirees not to have access to their RSA; worried that critical stakeholders have expressed concern that 65 per cent of the funds which amount to N10 trillion, loaned to the Federal Government is an investment which exposes the contributors to unnecessary volatility as the Federal Government may fail to pay back the loan in due time.
“Being unable to access their pension has caused untold hardship to the retirees as they are unable to afford even basic necessities,” he stated.
The home urged PenCom to guarantee fast launch of funds for the fee of pension funds to all retirees within the nation.
In his ruling, the Deputy Speaker, Rep. Benjamin Kalu, mandated the Committee on Pension to examine the standing of the pension fund belongings of over N15.5 trillion.
He stated that the purpose is to make sure that the N10 trillion loaned to the Federal Government from pension funds is duly recovered and modalities are put in place to hinder a collapse of the scheme.
He mandated the committee to additionally scrutinise the failure of PFAs in fulfilling its obligations to retirees relating to entry to their retirement financial savings.
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