Nigeria’s pension fund assets closed 2025 at a historic high of N27.45tn, consolidating the steady growth recorded through the final quarter of the year, according to the unaudited pension funds industry portfolio report for the period ended 31 December 2025.

According to the figures released by the National Pension Commission, the year-end figure represents a net increase of N399.27bn over November 2025, when total pension assets stood at N27.05tn. On a year-on-year basis, the total pension fund assets grew by N4.94tn, rising from N22.51tn in December 2024, representing an annual growth of about 21.9 per cent.

The bulk of the year-on-year expansion came from the Retirement Savings Account Funds, particularly Fund II and Fund III. RSA Fund II assets jumped from N9.24tn in December 2024 to N11.52tn in December 2025, an increase of approximately N2.28tn. RSA Fund III grew from N5.92tn to N7.02tn, adding about N1.10tn year-on-year. RSA Fund IV expanded from N1.62tn to N2.25tn, reflecting a rise of roughly N630bn over the period.

Assets under Existing Schemes also rose materially, from N2.79tn in December 2024 to N3.28tn in December 2025, while CPFAs increased modestly from N2.60tn to N2.69tn.

In the period under review, holdings of Federal Government securities increased sharply year-on-year, climbing from N14.11tn in December 2024 to N16.33tn in December 2025. Treasury Bills also edged higher year-on-year, reinforcing the industry’s conservative risk posture. Investment in domestic ordinary shares surged from N2.24tn in December 2024 to N3.96tn in December 2025, representing a year-on-year increase of approximately N1.71tn. This reflected improved equity market valuations and higher exposure, particularly within Fund II and Fund III portfolios.

RSA membership expanded from 10.58 million contributors in December 2024 to 11.04 million by December 2025, adding more than 450,000 new contributors over the year and reinforcing steady contribution inflows into the system.

On a month-on-month review, the December expansion was driven largely by valuation gains and fresh inflows into Retirement Savings Account Funds, particularly Fund II, Fund III and Fund IV, which together account for the bulk of industry assets.

RSA Fund II, the largest and most actively invested fund, closed in December with assets of N11.52tn, compared with N11.27tn in November, reflecting a monthly increase of N244.62bn. Fund III rose to N7.02tn from N6.90tn, while Fund IV ended the year at N2.25tn, marginally lower than its November position but still firmly above the N2tn mark.

Month-on-month, Federal Government of Nigeria securities continued to dominate pension portfolios, closing December at N16.33tn, marginally above November’s N16.31tn level, and accounting for well over half of total industry assets. Within this category, FGN bonds held to maturity remained the single largest investment, ending December at N12.83tn, while FGN bonds available for sale stood at N2.63tn. Holdings of Treasury Bills increased to N761.09bn in December from N675.50bn in November, indicating a renewed preference for shorter-dated government instruments towards year-end.

Exposure to domestic ordinary shares rose notably, closing December at N3.96tn, up from N3.70tn in November. This reflects both market appreciation and incremental allocations, particularly within Fund II and Fund III portfolios.

Money market instruments declined slightly month-on-month to N2.62tn in December from N2.81tn in November, driven by reductions in fixed deposits and foreign money market instruments. However, holdings remained substantial, underscoring the industry’s continued emphasis on liquidity management.

Investments in real estate, private equity, and infrastructure funds all closed the year higher than November levels. Real estate assets rose to N170.76bn from N145.99bn, while infrastructure funds increased to N282.14bn, up from N257.23bn a month earlier.

The December data confirm that Nigeria’s pension industry closed 2025 on a strong footing, with total assets firmly anchored at N27.45tn, sustained dominance of government securities, improving equity exposure, and gradual deepening of alternative investments as the system continues to mature.