Leadway Pensure PFA Limited has stated that Nigeria’s Personal Pension Plan (PPP) will reshape retirement savings for small business owners by making contributions more flexible and accessible.
The company said the initiative is important to Nigeria’s economic structure, where a large number of workers operate in the informal sector without access to structured pension systems.
According to Leadway Pensure, the PPP is designed to address this gap by providing a savings framework tailored to individuals outside traditional employer-led pension arrangements.
The firm noted that small businesses play a central role in Nigeria’s economy but many owners lack organised retirement plans.
Leadway Pensure highlighted that the Personal Pension Plan allows contributors to make flexible payments that align with their income patterns.
The company said this flexibility enables entrepreneurs and self-employed individuals to build retirement savings gradually while managing business demands.
Commenting on the development, the Managing Director and Chief Executive Officer of Leadway Pensure PFA, Olusakin Labeodan, said:
“Small businesses are Nigeria’s economic backbone, yet many owners lack disciplined retirement security.”
He added:
“The Personal Pension Plan allows flexible contributions that match income realities, helping entrepreneurs secure their future as they build their businesses.”
Data from the National Pension Commission (PenCom) shows that adoption of the scheme remains limited.
According to the commission’s Q3 2025 report, more than 200,000 workers had registered for the Personal Pension Plan as of September 30, 2025. However, only 7.6 percent funded their accounts during the quarter.
Leadway Pensure said this indicates a gap between registration and active participation in the scheme.
The company stated that the Personal Pension Plan has strong growth potential, especially given the size of Nigeria’s informal workforce.
It noted that wider participation in the scheme could improve financial security for business owners and reduce exposure to old-age poverty.
Leadway Pensure said increased adoption of the PPP would support long-term financial stability for small business owners and contribute to broader economic development.
The initiative is positioned as part of efforts to expand pension coverage beyond the formal sector.
