The National Pension Commission (PenCom) has revealed a significant gap in Nigeria’s pension coverage, noting that only 215,914 informal sector workers are currently enrolled in the Personal Pension Plan (PPP). This leaves approximately 91.88 million workers, representing over 99 percent of the estimated 92.1 million informal workforce—without any structured retirement savings.
In its third-quarter 2025 report, released on Wednesday, January 21, 2026, PenCom described the current adoption rate as a mere 0.23 percent, highlighting a massive “untapped potential” that threatens millions with old-age poverty.
The market for these micro-pensions remains highly concentrated among a few dominant players. According to the report, AccessARM and Stanbic IBTC jointly control 68 percent of all registered Retirement Savings Accounts (RSAs) within the Personal Pension Plan as of September 30, 2025.
AccessARM leads the sector with a 50 percent market share, while Stanbic IBTC holds 18 percent. In contrast, smaller operators like Parthian Pensions and CardinalStone Pensions recorded near-zero activity, contributing less than 0.03 percent combined to new registrations during the quarter.
To combat this widespread exclusion, PenCom Director-General Omolola Oloworaran has announced “Pension Revolution 2.0,” a reform package designed to make the PPP more accessible through digital onboarding and flexible contribution models. The commission is also collaborating with the Federation of Informal Workers’ Organisations of Nigeria (FIWON) to address concerns regarding the instability of informal incomes.
Proposals currently under review include a “minimum pension guarantee” and a health insurance component for retirees, which aim to incentivize artisans, traders, and freelancers to commit to long-term savings despite economic shocks.
The National Bureau of Statistics (NBS) notes that 92.7 percent of the Nigerian labor force is engaged in informal employment, with women being the most vulnerable segment. As pension assets grew to N26.09 trillion by the end of 2025, PenCom is now pushing for more aggressive “agent network” expansions to reach rural farmers and roadside entrepreneurs.
Without an urgent shift from voluntary to more structured government-supported interventions, labor leaders warn that the “informal sector pension crisis” will become the leading cause of increased national poverty over the next two decades.
 has revealed a significant gap in Nigeria’s pension coverage, noting that only 215,914 informal sector workers are currently enrolled in the Personal Pension Plan (PPP). This leaves approximately 91.88 million workers, representing over 99 percent of the estimated 92.1 million informal workforce—without any structured retirement savings.){kind=link}