FG Pays N13.87bn Pension Arrears to 18,822 Retirees

The Federal Government has disbursed N13.87 billion in outstanding pension increment arrears to 18,822 retirees under the Defined Benefit Scheme (DBS), according to the Pension Transitional Arrangement Directorate (PTAD).

The payment covers arrears arising from the 13.8 per cent and 20.55 per cent pension increases approved by President Bola Tinubu for former employees of the defunct Power Holding Company of Nigeria (PHCN) and five other government agencies.

In a statement issued over the weekend, PTAD spokesperson, Olugbenga Ajayi, disclosed that the total amount paid was N13,873,565,547.52.

According to the Directorate, N9.42 billion was paid to 7,391 former PHCN pensioners, while N4.46 billion went to 11,431 retirees from five other defunct agencies.

PHCN Pensioners Receive N9.42bn

PTAD explained that the N9.42 billion disbursed to former PHCN workers represents 65 months of outstanding arrears arising from the 13.8 per cent pension increment.

The payment covers the period from June 1, 2021, to October 31, 2026.

Meanwhile, the N4.46 billion paid to pensioners from the other five agencies settles 22 months of arrears resulting from the 20.55 per cent increment, covering January 1, 2025, to October 31, 2026.

The beneficiaries include retirees from the People’s Bank of Nigeria, Assurance Bank, NICON Insurance, Nigerian Reinsurance Corporation, and the Nigerian Telecommunications Limited (NITEL)/Mobile Telecommunications Limited (MTEL).

PTAD Explains Approval of Pension Increments

The Directorate said both pension increments were approved by the National Salaries, Incomes and Wages Commission (NSIWC) through a circular dated January 14, 2026.

PTAD described the disbursement as part of the Federal Government’s efforts to improve the welfare of senior citizens who served the country.

It added that it remained committed to ensuring that retirees receive their pension entitlements promptly and with dignity.

The agency also acknowledged President Tinubu’s attention to the welfare of Defined Benefit Scheme pensioners, noting that his administration was working towards addressing longstanding pension issues and meeting its obligations to retired workers.

“PTAD remains committed to ensuring efficient pension administration, the timely payment of pension entitlements and the continuous improvement of the welfare of DBS Pensioners,” the statement added.