Nigeria’s pension assets recorded their strongest monthly growth on record in February 2026, rising by N1.39 trillion to hit N29.43 trillion, according to data from the National Pension Commission.
The sharp increase from N28.04 trillion in January surpasses the previous record of N1.18 trillion set in January 2024, signalling a new phase of rapid, market-driven expansion in the pension industry.
The growth was driven by a combination of fresh inflows and valuation gains, particularly from equities, which played a central role in boosting overall returns.
Domestic equity investments rose significantly to N5.41 trillion, reflecting increased exposure to the Nigerian stock market. In contrast, foreign equity holdings remained relatively low at N261.99 billion, indicating a continued preference for local investments amid global uncertainty.
Speaking at the Pension Industry Leadership Council meeting in Lagos, Omolola Oloworaran, Director-General of PenCom, noted that pension funds now hold about N4 trillion in equities, equivalent to roughly 3-4 per cent of total market capitalisation on the Nigerian Exchange Limited.
She added that the industry remains committed to supporting long-term savings and infrastructure financing.
Despite rising equity exposure, pension portfolios remain heavily weighted toward government instruments. Investments in Federal Government securities climbed to N16.93 trillion, accounting for more than half of total assets.
These include N13.17 trillion in held-to-maturity FGN bonds, N2.64 trillion in available-for-sale bonds, and N987.03 billion in treasury bills, highlighting a continued preference for stable and predictable returns.
Alternative government-backed instruments such as Sukuk and green bonds remain relatively small, suggesting that diversification is still gradual.
Investments in non-sovereign debt also expanded, with corporate bonds rising to N2.25 trillion and state government bonds reaching N368.99 billion, reflecting selective risk-taking and a long-term investment outlook.
Liquidity levels remained robust, with money market instruments increasing to N2.74 trillion. Fixed deposits and bank acceptances accounted for N2.50 trillion, while commercial paper stood at N209.23 billion.
However, alternative assets continue to lag. Infrastructure funds stood at N300.02 billion, private equity at N258.31 billion, real estate at N169.52 billion, and REITs at N77.64 billion, limited by structural constraints and a shortage of investable opportunities.
