Nigeria to loosen pension rules, unlock billions for infrastructure and private equity
- PenCom plans to increase the investment ceiling for pension funds in infrastructure and private equity from the current 5%.
- New investment limits are expected to be announced before the end of Q3 2025.
- Pension funds have seen private equity allocations more than double to ₦229.4 billion in H1 2025 compared to H1 2024.
The proposed changes by PenCom represent a significant shift in Nigeria's pension strategy, potentially unlocking new avenues for growth and addressing critical infrastructure needs. However, the effectiveness of these changes will depend on the execution and the ability of fund managers to navigate the complexities of private equity and infrastructure investments.
