Home | REVIEWS | Fact Check on Pension Reforms in Nigeria

Fact Check on Pension Reforms in Nigeria

There is no doubt that one of the major challenges Nigeria faces is a shortfall in funds to meet up governance obligations. One of such of obligations include; pension, salaries, debt, capital financing et al

Pension reforms are critical as they affect they ageing class who have served the country. They have paid their dues based on what our democratic institutions make possible but unfortunately, the pension scheme failed many after their 35 years of service.

Successive governments started the reforms; one of which was to make organizations whether public and private to pay their staff pension. This led to the evolving of many Pension Asset  Managers like Stanbic IBTC among others. In fact, employers and employees are expected to contribute a percentage in this account.

A worker is expected to use their Pension account for other employment or fora change of jobs. This scheme started during the Obasanjo administration which was continued in subsequent ones.

As Nigeria heads to another election, governance and collectively love for the country have been polarized politically. The ruling party All Progressives Congress (APC) is using the Pension reforms as one of way to convincing Nigerians to return President Muhammadu Buhari for a second term in office.

They are also doing this with an outright disregard for the genesis, basics and history of the reforms carried in that sector. With the appointment of Sharon Ikeazor, the APC is trying to take the glory by speedily paying off the pension arrears; which should be the penultimate stage of reform started many years ago. The issue of sustainability is not the focus but on how to pay-off for the sake of 2019 general elections.

In a thread from a top financial and public sector analyst Feyi popularly known as DoubleEph; we share some facts with you on the history of Pension Scheme that is yielding fruits today for the Nigerian people.

That pension money was quite easy to steal because it related to unfunded defined benefit pensions. The money was simply released to MDAs as part of their normal salaries. But since the pensioners were not in the office, stealing it was dead easy -DoubleEph

 

 

This is simply a fact-check to inform you, educate you and enlighten you to understand how things work in your country, Nigeria. 2019, is a defining election for Nigeria and going forward as a nation it is the duty of every citizen to make the right decisions based on FACTS rather than PROPAGANDA.

We also downloaded the review of the Pension Scheme and Act passed in 2004 by the Bill and Melinda Gates Foundation. Download Here.

Excerpts and Snips from the document can be found below;

 

Thanks for reading. Do share this post and subscribe with us for updates and more enlightening news reports.

About Eureka Magazine

The truth that is Most Evident

Check Also

Richest and Wealthiest Men in Nigeria’s History by @IsimaOdeh

A new thread on Nigeria’s history. This time it is about the richest people Nigeria …