Business
2014 Pension Reform Act To Accommodate More Contributors – Expert
The Managing Director of Legacy Pension Managers, Mr Misbahu Yola, said the 2014 Pension
Reform Act would usher in more subscribers into the contributory pension scheme in the country.
Yola, who spoke to the newsmen in Abuja on Friday, also identified three major innovations in the new pension reform act.
He said the aspect of the act that mandates any employer with a minimum of three employees to enroll into scheme was commendable.
Yola noted that the reduction in the number workers an employer could have from five to three before qualifying to participate in the scheme would give opportunity for more people to participate.
He said the increase in the joint contributions of the employer and employee would also ensure accumulation of more savings for subscribers on retirement.
“The other innovation is the increase in the rate of contribution from 15 per cent to 18 per cent.
“Now, the employer pays 8 per cent and employee pays 10 per cent, which saves more for the contributor and the value of the pension that the employer will get when he or she retires will be enhanced, so, it is a positive thing for the contributor.”
According to him, although the new act makes provision for the inclusion of the informal sector, however certain modalities must be put in place to ensure its workability.
He said that the National Pension Commission and stakeholders in the industry were devising a workable mechanism for practical incorporation of the informal sector.
“The informal sector, the operators and PenCom are in discussion, draft guidelines have been approved and we have made comments,” he said.
He also said that efforts were being made to mitigate the envisaged challenges that might arise in the inclusion of the informal sector.
Yola noted that some of the envisaged issues identified include mode of collection of contributions and payment.
He, however, expressed believe that effective measures were being worked out to ensure its success; “but between us the operators and the PenCom, we are working on how to do that effectively.”
Yola, who is also the Chairman of the Association of Pension Operators in Nigeria (PENOP) noted that the new act encourages more states to participate in the scheme.
He said that in spite of the revenue challenges currently being experience by some states, the importance of participating in the scheme cannot be down played.
On the issue of administrative charges on the account of Retirement Saving Account Holders (RSA), he said that PenCom had pegged the maximum charge to N100 per month.
He, however, said that PFAs were at liberty to charge less but were not authorised to go beyond the prescribed fee by the regulator.
Yola said it was the responsibility of PenCom to issue investment guidelines on everything to pension Fund Administrators (PFA’s).
He stressed that pension assets were not for the general public but for the contributors in the scheme.
“We can invest in infrastructure, but it has to be liquid, that is whenever you want the money you can get it back.
“What we are not allowed to do is to go directly and build a road, we can’t do that, but we can do it through bond, but individual PFA will have to look at it and see if they can bear the risk and determine if that is an investment they can do.”
He noted that legacy pension had consistently grown and remained true to its values of integrity, trust and professionalism.
MoniePoint Inc. a digital financial firm in Nigeria, has said it is empowering community pharmacists across the country with innovative payment solutions to improve access to drugs.
The financial firm said it had also provided loans for pharmacists under the aegis of the Association of Community Pharmacists of Nigeria (ACPN) to drive healthcare delivery in the country.
MoniePoint in a release titled, “Inside Nigeria’s community pharmacies: How Moniepoint drives healthcare access with payments and funding”, has reaffirmed its commitment to providing digital payment solutions to improve health outcomes in Nigeria.
The release examined how community pharmacies play a crucial role as vital access points for medical care in Nigeria, especially in areas with limited hospital or clinic access.
According to the release, the ACPN National Chairman, Ambrose Igwekwam, highlighted the critical role played by community pharmacies in Nigeria’s healthcare system over the years.
Igwekwam, however, expressed concerns over the challenges confronting the nation’s pharmaceutical industry which he said was hindering access to affordable medicines.
The pharmacist listed poor infrastructural systems, power, transportation, regulatory bottlenecks, importation dependency, and limited research opportunities as major challenges facing the pharmaceutical sector.
He also stressed the need for robust collaborative efforts with institutions like Moniepoint to strengthen the sector.
“As Nigeria continues to grow, improving local pharma manufacturing to meet the demands of this growth presents a key opportunity for us all.
“There is also the African Continental Free Trade Area Agreement, which is expected to boost our industry, especially when we start producing our drugs locally, which will provide the much needed foreign exchange from exports.
“We are also seeing advancements in digital health and technology which would hopefully deepen the practice of e-prescription in Nigeria”, the ACPN boss said.
Corlins Walter
In order to enhance customer service and streamline operations, the Chartered Insurance Institute of Nigeria (CIIN) has called on stakeholders in the insurance industry to embrace Artificial Intelligence (AI).
The President of the institute, Yetunde Ilori, made this call at the 2024 Office Representatives Committee (ORC) Workshop, organised by the institute, with the theme “AI and the Future of the Insurance Industry”, in Lagos.
Ilori at the event, emphasised the importance of AI adoption, noting that it was not a threat to jobs but rather a tool to improve efficiency across the insurance sector.
“It is not about AI taking over our jobs, but about us using AI to simplify processes and give maximum satisfaction to all the customers we serve whether as underwriters, brokers, loss adjusters, or in educating our members”, she said.
The workshop, which brought players in the insurance sector together, aimed to address how AI could be leveraged to transform business processes and improve customer interactions.
The Chairman of the ORC, Monica Nwachukwu, underscored the role of AI in modernising the industry, adding, “AI can automate customer and claims processes, allowing insurers to provide faster and more efficient services to their customers”.
She explained how AI could help extract data from legacy systems, enhancing decision-making processes.
“By integrating AI with APIs, insurers can feed valuable data into AI solutions to improve operations and customer service”, she added.
In his address, the Managing Partner of A4S and Training Heights, Orlando Odejide, stressed the need for companies to align their strategies with future technologies like AI, especially as they prepare for 2025.
“Any organisation that wants to grow into the future must have its strategic plan in place. If your strategy for 2025 is not ready, it should be done by October”, he advised.
He encouraged participants to think critically about how AI could be integrated into their business models to ensure they remain competitive.
“The idea is for you to use this workshop as a platform to think about your organization and how AI can help streamline your processes and improve growth”, Odejide noted.
In order to gain global respect and recognition, the National Space Research and Development Agency (NASRDA) has reaffirmed its determination to pursue its goal in ensuring that Nigeria’s space capabilities are recognised on the world stage.
The agency also reaffirmed its commitment to positioning Nigeria as a key player in the global space economy.
In a statement by the Director of Media and Corporate Communications, Dr. Felix Ale, NASRDA revealed that the Director-General of the agency, Matthew Adepoju, emphasised this during recent engagements at the 79th United Nations General Assembly and the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) and Global Alliance Business Association international conference in Michigan, United States.
The statement noted that Adepoju outlined a forward-thinking agenda, stressing the importance of Nigeria’s space programme as a leader in research, exploration, and technological innovation.
“Our goal is to ensure that Nigeria’s space capabilities are recognised on the world stage.
“We must foster collaborations with global space agencies to enhance our satellite capabilities and technological infrastructure”, he stated.
The NASRDA boss said the agency is focusing on enhancing satellite capabilities, expanding international collaborations, and leveraging space science for national development.
He said NASRDA will have no stone unturned in pursuit of excellence, ensuring the agency secures the necessary resources and recognition to propel it forward.
“The relationships we build today will pave the way for tomorrow’s advancements in space science.
“Innovation and progress thrive in an environment built on collaboration and inclusivity”, he stated.
He emphasised that with the support of the government, international partners, and a dedicated team, NASRDA is poised to make significant strides in the evolving global space landscape.
“We are on the brink of a new era for Nigeria’s space agency. Together, we will ensure our nation stands out in the global space economy”, he said.
Corlins Walter