Pension Crisis in Nigeria: Causes and Solutions.

Abstract

The aim of this study was to evaluate the management of pension in the country by analyzing the various pension reforms introduced by Gowon, Abacha and Babangida for the purpose of finding out to what extent these reforms have proved effective in tackling those problems that account for the delay in the payment of pension which has remained the bane of pension management in Nigeria. This formed the basis for critical evaluation of the new contributory pension scheme introduced during Obasanjo regime with a view to determining its ability to arrest the problem of irregular payment of pension. It is believed that the appraisal of the new reform will improve strategies needed to achieve more positive result in carrying out this study. The history of the Nigerian Pensions administration dates back to the 1950s.The Pension Reforms Act of 2004 brought into limelight the new pension scheme in Nigeria which is a defined contributory scheme unlike the old scheme which was largely defined benefits. Although the new scheme is being adjudged to be better than the old scheme in that, it is expected to correct the deficiencies and inadequacies prevalent in the old scheme, it advocated that only proper coordination, supervision and regulation of the pension Industry in Nigeria will make it to happen.