By Gabriel Ameh
ABUJA – The Federal Government has cleared more than ₦39 billion in long-standing pension liabilities owed to thousands of retirees under the Defined Benefit Scheme (DBS), marking a major milestone in efforts to resolve inherited pension arrears.
The Pension Transitional Arrangement Directorate (PTAD) announced that the payments were made in line with President Bola Ahmed Tinubu’s Renewed Hope Agenda, which prioritises the welfare of pensioners and the settlement of outstanding obligations.
According to PTAD, the government paid ₦25.05 billion to settle a 35-month pension liability owed to 9,675 eligible pensioners of the defunct Nigerian Telecommunications Limited (NITEL) and Mobile Telecommunications Limited (MTEL).
The Directorate also disbursed ₦9.48 billion, representing the first 50 per cent payment of Back End Computation (BEC) arrears to 3,959 eligible pensioners of the defunct Power Holding Company of Nigeria.
In addition, ₦5.09 billion was paid as the outstanding 50 per cent balance of the 10.66 per cent and 12.95 per cent pension increment arrears due to 11,180 eligible pensioners of the defunct Assurance Bank, NICON, NITEL and People’s Bank of Nigeria.
PTAD Executive Secretary, Tolulope Odunaiya, described the payments as a major breakthrough in addressing inherited pension liabilities and restoring confidence in the Defined Benefit Scheme.
She explained that the settlements followed presidential approval granted in August 2025, with funding provided through the 2026 Appropriation Act.
Odunaiya said the successful liquidation of the arrears reflects the Federal Government’s commitment to sustaining pension reforms, ensuring pensioners receive their entitlements promptly, and improving the welfare of retired public servants.
She also thanked affected pensioners for their patience while the outstanding liabilities were being resolved and reaffirmed PTAD’s commitment to transparent, efficient and pensioner-focused service delivery.
