FG Pays Over N39bn in Outstanding Pension Arrears to Defined Benefit Scheme Pensioners
The Federal Government has announced the payment of more than ₦39 billion in inherited pension liabilities owed to thousands of pensioners under the Defined Benefit Scheme, fulfilling President Bola Ahmed Tinubu’s commitment to clearing longstanding pension debts.
The payment, announced on Friday by the Pension Transitional Arrangement Directorate (PTAD), covers outstanding pension liabilities owed to retirees of the defunct Nigerian Telecommunications Limited (NITEL), Mobile Telecommunications Limited (MTEL), Power Holding Company of Nigeria (PHCN), Assurance Bank, NICON and the defunct People’s Bank of Nigeria.
According to PTAD, the payments include ₦25.05 billion for a 35-month pension liability owed to 9,675 eligible NITEL/MTEL pensioners, ₦9.48 billion as the first 50 per cent payment of Back End Computation arrears for 3,959 eligible PHCN pensioners, and ₦5.09 billion for the balance of the 10.66 per cent and 12.95 per cent pension increment arrears due to 11,180 eligible pensioners of Assurance Bank, NICON, NITEL and People’s Bank.
PTAD described the development as a major milestone in the Federal Government’s efforts to improve the welfare of pensioners under the Renewed Hope Agenda.
Speaking on the development, PTAD Executive Secretary, Tolulope Odunaiya, commended President Tinubu for his continued support for pension administration, noting that the payments demonstrate the government’s commitment to protecting the welfare and dignity of retired public servants.
She said the settlement of the outstanding liabilities reflects the administration’s resolve to promote social protection, inclusive governance and improved welfare for senior citizens.
Odunaiya added that the intervention has restored confidence in the Defined Benefit Scheme by resolving years of inherited pension obligations.
She disclosed that the payments followed presidential approval granted to PTAD in August 2025, while the necessary funds were provided through the 2026 Appropriation Act.
According to her, the successful settlement of the liabilities reinforces the Federal Government’s commitment to sustaining pension reforms and ensuring that eligible pensioners receive their entitlements promptly.
She also appreciated pensioners for their patience and understanding while the outstanding obligations were being resolved, assuring them that PTAD remains committed to efficient, transparent and pensioner-focused service delivery.
The latest payment is part of the Federal Government’s ongoing efforts to clear inherited pension debts and strengthen confidence in Nigeria’s pension administration system.
FG Pays Over N39bn in Outstanding Pension Arrears to Defined Benefit Scheme Pensioners