PenCom pegs pension fund assets investment on infrastructure at N5bn

The National Pension Commission (PenCom) on Tuesday said it had pegged the minimum pension fund assets investment on infrastructure at N5 billion.

A statement by the PenCom head, communications, Emeka Onuorah, in Lagos said the fund asset could be invested through infrastructure bonds or infrastructure fund.

The PenCom’s draft statement would guide Pension Fund Administrators (PFAs) and other investors, who wanted pension fund asset to develop infrastructure in Nigeria.

According to the statement, both outlets must meet the conditions for pension fund investment in infrastructure before the PFAs can channel pension assets into such investments.

“As much as 15 percent of the pension fund under management could be invested in infrastructure through infrastructure bonds.

“Another 5 percent could be invested in infrastructure through infrastructure fund totalling 20 percent of the total value of accumulated pension asset.

“For projects to qualify, they must be awarded to concessionaires with good track record, through a transparent bidding process.”