The Chairman of the Management Board of the Nigeria Social Insurance Trust Fund (NSITF), Sola Olofin, has stressed the need to safeguard the Fund’s independence in the face of regulatory overreach.

Olofin spoke at the 69th Board meeting and third meeting hosted by the current Board in Abuja, hinged his concern on the ambiguity in the Finance Act 2021 on the status of contributions to the Fund.

He said, “The Financial Act 2021 has introduced changes with significant implications for NSITF. Of particular note is the conversation around whether contributions made to the Fund should be classified as revenue within the purview of the Federal Inland Revenue Service.

“This is not merely an accounting classification, it is a matter with far-reaching effects on the autonomy, operations and the financial health of the Fund.”

Olofin urged the NSITF Board to support the barrister Oluwaseun Faleye-led Management to strengthen the Fund’s policy stance on the Financial Act 2021 and contributions classification.

“As a Board, we have the duty to engage actively on this front — to ensure that our position is clearly articulated and that the peculiar nature of NSITF’s contributions, which are statutory and earmarked for specific social security objectives, is fully appreciated by policymakers and tax authorities.

“We must continue our advocacy, backed by sound legal and policy arguments to safeguard the Fund from regulatory overreach that may impair its ability to meet its statutory obligations.”

The Board Chairman noted that the meeting was “not only a statutory requirement but a demonstration of our collective commitment to stewarding this Fund in accordance with our fiduciary duties, the enabling acts, and the trust reposed in us by the President of the Federal Republic of Nigeria, the Honourable Minister of Labour and Employment, and indeed, the Nigerian workers we serve.”