The National Pension Commission (PenCom) has blacklisted seven Primary Mortgage Banks (PMBs) and directed Pension Fund Administrators (PFAs) to halt the processing of equity contribution applications submitted by these institutions over alleged non-compliance with housing loan guidelines.
In a circular dated August 11, 2025, and signed by Obiora Ibeziako, Head of Benefits and Insurance Department, PenCom ordered PFAs, Closed Pension Fund Administrators (CPFAs), and Pension Fund Custodians (PFCs) to immediately cease accepting new applications linked to the affected lenders.
The blacklisted mortgage banks include Jigawa Savings & Loans Limited, FHA Mortgage Bank Limited, Delta Trust Mortgage Bank Limited, AG Mortgage Bank Limited, Infinity Trust Mortgage Bank Plc, First Trust Mortgage Bank Limited, and Mutual Alliance Mortgage Bank Limited.
Although PenCom did not specify the exact reasons for the suspension, industry sources indicate it may be connected to the failure of these banks to disburse mortgages for which pension-backed equity contributions had already been approved.
The equity contribution initiative, introduced by PenCom in September 2022, allows Retirement Savings Account (RSA) holders to apply up to 25% of their RSA balance toward the purchase of a residential property. The policy was designed to promote homeownership among contributors under the Contributory Pension Scheme (CPS).
Meanwhile, despite the regulatory crackdown, pension assets in Nigeria continue to show positive growth. As of February 2025, total assets under management climbed to ₦23.26 trillion, representing a 1.77% increase from ₦22.86 trillion in January.
A breakdown of the portfolio shows Federal Government securities remain the dominant investment class, accounting for ₦14.46 trillion or 62.18% of total assets. The growth is credited to strategic asset allocation and a diversified investment mix by PFAs.
PenCom’s Director-General, Omolola Oloworaran, noted that state-level remittances have also improved, reflecting stronger commitment to the CPS by subnational governments.
“As of February 2025, total pension assets under management have surpassed ₦23 trillion, highlighting the increasing confidence in the Nigerian pension system,” Oloworaran said. “But the journey is far from complete. Only 25 states and the FCT have enacted laws to implement the CPS, and just eight states have fully implemented the scheme.”
She reaffirmed the Commission’s commitment to pushing for full adoption of the CPS nationwide, stressing that broader compliance is critical to securing the long-term financial future of Nigerian workers.
