Governor Okezie Ikpeazu says his administration will amend the Abia State Pension Law and do the needful to enable the state fully key into the Contributory Pension Scheme (CPS) officially.
It will be recalled that the Abia State Government on March 2017, enacted the Abia Pensions Reform Law 2017, which is one of the prerequisites for the implementation of the Contributory Pensions Scheme in the state.
Once fully implemented in the state, the Contributory Pensions Scheme would ensure the sustainability of the pension arrangement as well as ameliorate the burden of pension payment on the state government.
Speaking when he received a team from the National Pensions Commission (PENCOM) led by the National Commissioner (Technical) Representing the South East,Dr Nyerere Anyim at Government House Umuahia, Gov Ikpeazu noted that the scheme would solve the burden of sorting out the management of pensions and wages on monthly basis as well as enable Abia workers have access to their pension upon retirement.
He said: “I am excited with the prospect of Abia keying into the Contributory Pensions Scheme because it will solve the problems of pension management and data will become reliable.
“That is why we quickly promulgated the Abia Pensions Reform Law in Abia State. We have done almost everything that we are required to do apart from beginning to remit what we are supposed to remit to enable us key into the CPS platform officially.
“I am also in sync with having the opportunity to funds and stock exchange and see how we can issue bonds and solve most of our Infrastructural problems. It will give me joy to do the needful in terms of keying into the CPS and making ourselves qualified for what could happen thereafter. So looking at it from all perspectives, i don’t have any reason to hesitate”.
Ikpeazu who also expressed delight with the Micro Pensions Scheme which affects artisans and Small and Medium Entrepreneurs noted that Abia is at the fore front of SMEs and has been acknowledged by the World Bank since 2016 as having over one million people engaged in Small scale businesses.
According to the Governor, the Micro Pension Scheme will accommodate artisans and entrepreneurs in addition giving them a brighter future and hope.
He directed the Commissioner For Finance and the Head of Service,Sir Onyii Wamah to lead out the technical support needed work out modalities that will enable Abia key into the CPS scheme fully.
The Governor urged the National Pensions Commission to come up with a model message that will appeal to the public to enable them embrace the idea and deepen advocacy.
He assured that his administration will lead out a strong advocacy on the need for the people to embrace the Contributory Pensions Scheme as well as engage the people in town hall meetings.
Earlier in his address, the National Commissioner (Technical) Representing the South East,Dr Nyerere Anyim commended the Governor for his efforts towards the implementation of the CPS in Abia State and stressed the need for government to amend the state pension law, establish a pension bureau which he said would help in the processing of the implementation of the CPS.
He said the Commission will be willing to deploy its staff who will partner with the state government inorder to ensure that the scheme is fully developed, enhanced and implemented in Abia State.
He noted that the benefits open to Abia as a result of keying into the program include, reduced pension burden, sustainability of the pension arrangement adding that government will be able to access funds from the national pension commission.
According to Dr Anyim, the Micro Pension Scheme will give access to the informal sector to access funds adding that Aba was chosen as the hub of SME in the South East for the plan.
“With the processes of implementation of the CPS, it will be a shared responsibility between the civil servants,ie the contributors and the state government. That shared responsibility will go to a very long way to ameliorate the burden of pension payment on the state government.
“The issue of ghost workers will be a thing of the past, each contributor will be captured physically biometrics”,the PENCOM Boss disclosed.
