Pension Fund Contribution and Economic Growth in Nigeria
Abstract
This study assessed the relationship between Pension Fund contribution and Economic Growth in Nigeria utilizing time series data spanning for a twelve year period, from 2008 to 2019. Secondary data for the period were collected from the National Pension Commission (PenCom) Annual Reports, Central Bank of Nigeria, National Bureau of Statistics and World Bank development indicator (database) of twenty-one licensed pension fund administrator as at 31st December, 2019. The data collected were analyzed and tested for unit root, using the Augmented Dickey-Fuller test using E-Views, 9.0 statistical software. The Ordinary Least Square techniques were used to estimate three models in line with the formulated hypothesis. The results from the models revealed a significant positive relationship between pension fund contribution and gross domestic product at 5% level of significance. Following the empirical findings of this study, it was recommended that PenCom was advised to maintain efficient monitoring, supervision, and enforcement of the provisions of the Pension Reform Act 2004, which are inextricably linked to the Contributory Pension Scheme's contribution to Gross Domestic Product (GDP).
