The new pension introduced in 2004 was received with accolades and cheers especially from would-be-retirees and pensioners who in their eyes saw the old scheme as ineffective occasioned by weak administration and corruption as well as unreliable record keeping. The objective of this study is to examine the nexus between pension fund investment and economic growth in Nigeria. The secondary sources of data were employed while the panel data collected was analyzed using multiple regression model. From the data analysis, the findings revealed that the variables of the pension contribution have no significant relationship with the economic growth despite the positive relationship. This could imply that the major problem facing the contributory pension scheme in Nigeria is the dearth of investment outlets available to PFA. The study recommends that there should be an increase in investment outlets of pension funds to ensure that investible pension funds are not limited to few investment classes which might lead to diminution of income, among others.

 Keywords: Pension Fund, Investment Pension Act 2004 and Economic Growth