Fintech startup, Awabah, has set a target to onboard one million new personal pension subscribers by the end of 2026 by taking pension services directly to Nigeria’s informal sector through Point of Sale agents.
The Chief Executive Officer and co-founder of the company, Tunji Andrews, disclosed this during the unveiling and demonstration of its ‘Pension Direct’ initiative in Lagos on Thursday.
Developed in partnership with TeamApt and powered through the Moniepoint POS network, the initiative enables traders, artisans, transport operators, gig workers, and other informal-sector players to register for pensions and automate contributions without relying on smartphones or banking halls.
Andrews stated that the core strategy was to bring pensions to everyday neighbourhoods and transaction points where millions of Nigerians already conduct daily financial activities.
nder the arrangement, prospective contributors can visit any participating POS location, select a Pension Fund Administrator, submit basic details, and choose a preferred contribution schedule.
Customers can then authorise a direct-debit mandate using their bank cards, allowing daily, weekly, or monthly automated deductions.
The model aims to eliminate a primary barrier to financial inclusion: the difficulty irregular earners face in maintaining consistent retirement savings.
Andrews noted that Awabah chose agency banking infrastructure because millions of Nigerians in rural and underserved communities are already familiar with local POS operators, even if they lack smartphones or mobile banking applications.
He added that the company would roll out roadshows, radio jingles, billboards, and grassroots campaigns to boost awareness, with the initial phase targeting Lagos, Edo, Abuja, and the South-East.
Furthermore, POS agents are being trained to educate customers, facilitate registrations, and provide ongoing support.
Speaking on behalf of TeamApt Limited, Implementation Manager Emmanuella Edeh said the partnership leverages existing agency banking networks to bridge the gap between formal financial systems and the unbanked.
“Many people at the grassroots are not tech-savvy and do not own smartphones, making POS terminals a practical offline interface for digital pension services,” Edeh said.
She explained that the rollout would start with selected agents before expanding network-wide, adding that the system dynamically adjusts registration requirements based on the user’s chosen PFA.
Also speaking, the Managing Director and Chief Executive Officer of the Shared Agent Network Expansion Facility, Uche Uzoebo, stated that the project could significantly boost national pension coverage.
Uzoebo called on other agent network operators and financial service providers to adopt similar models to extend coverage to underserved regions.
Despite the optimism, industry stakeholders at the event highlighted key hurdles to nationwide scaling, including poor network connectivity in remote regions, settlement timelines, customer literacy, and reliance on cash transactions.
Responding to these concerns, Andrews revealed that Awabah was exploring offline-capable tech solutions and mapping participating POS terminals via geolocation so customers can easily locate nearby service points.
He added that the company ultimately plans to use the same distribution network to offer micro-insurance, savings bonds, and capital market products.
