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Finance · Nigeria

Obtain a Pension Fund Administrator licence (PENCOM)

License a PFA with the National Pension Commission under the Pension Reform Act 2014: incorporate a dedicated company → apply & deposit capital → Approval-in-Principle → operating licence.

4
steps
1
agency involved
Who you will deal with
National Pension Commission (PENCOM)
The steps
  1. 1Incorporate a dedicated company
    Agency
    National Pension Commission (PENCOM)
    What is required
    Incorporate an LLC/public company that EXCLUSIVELY manages pension funds (no other business) and can demonstrate technical/professional capacity.
    Documents
    Certificate of Incorporation; technical capacity; management team
    Typical timeline
    Setup
  2. 2Apply and deposit capital
    Agency
    National Pension Commission (PENCOM)
    What is required
    Apply (Form APP/01/PFA) to the Director-General under the Pension Reform Act 2014 and deposit the minimum capital in escrow. Minimum capital for a new PFA is ₦20 billion.
    Documents
    Application; escrow capital deposit; management CVs
    Typical timeline
    Application stage
  3. 3Approval-in-Principle (AIP)
    Agency
    National Pension Commission (PENCOM)
    What is required
    On meeting the requirements, PENCOM grants an Approval-in-Principle valid for 3 months.
    Documents
    Met initial requirements
    Typical timeline
    AIP (3 months)
  4. 4Operating licence
    Agency
    National Pension Commission (PENCOM)
    What is required
    Within 3 months of AIP, pay the ₦5,000,000 non-refundable licence fee; on satisfying all requirements PENCOM issues the operating licence.
    Documents
    Readiness to operate; ₦5m licence fee
    Typical timeline
    Within 3 months of AIP

Primary source: https://www.pencom.gov.ng/wp-content/uploads/2017/04/Requirements-for-PFA-License-28082020.pdf · confidence: high

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The numbers behind the decision

Knowing the process is half of it. ONYX also tracks the operating environment you are entering — daily grid generation, official FX, state-level input prices and inflation, and sector output — each figure source-linked and dated.

ONYX publishes what the responsible agencies publish, with a link to each source. Requirements, fees and timelines change, and an officer's reading of a rule can differ from the published text. Verify against the linked source before you commit money — this is reference information, not legal advice.

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