The Minister of Finance, Wale Edun, has refuted allegations that the federal government intends to use N20 trillion from the Pension Fund for infrastructure projects, stating that the government will comply with the established rules and regulations governing these funds.
In a statement made in Abuja on Thursday, Edun noted that the pension industry, similar to other sectors in the financial industry, is strictly regulated by specific legal frameworks.
Consequently, he said that the federal government does not plan to surpass these legal boundaries, emphasizing that the government is committed to protecting workers’ pensions.
Recall on Wednesday, there was significant public backlash after the federal government announced plans to use the N20 trillion in workers’ pension funds for infrastructure projects.
Responding to the public outrage, Edun said:
In addition, the Minister said the recommendation to “unlock” the some of the latent funds in the country such as pension funds is only an ongoing conversation in the financial sector among “best and brightest”.
He said the conversation revolves around exploring avenues for funding that will lead to growth, creation of job and alleviation of poverty.
Moreover, Edun said the government has no attempt to increase the risk of the pension funds nor allow their investment to be less safe.
After the Federal Executive Council (FEC) announced plans to use pension funds for infrastructure projects, the federal government encountered significant criticism.