Federal Government has cleared nearly N39 billion in outstanding pension liabilities owed to retirees under the Defined Benefit Scheme (DBS), including former employees of the defunct Nigerian Telecommunications Limited (NITEL), Mobile Telecommunications Limited (MTEL), the Power Holding Company of Nigeria (PHCN) and other federal government agencies.
The Pension Transitional Arrangement Directorate (PTAD) disclosed this in a statement, saying the payments were in line with President Bola Tinubu’s Renewed Hope Agenda, which prioritises the settlement of inherited pension liabilities and improved welfare for retired public servants.
According to the directorate, the largest component of the payment, amounting to N25 billion, covered about 35 months of outstanding pension arrears owed to nearly 10,000 eligible retirees of the defunct NITEL and MTEL.
PTAD also said it disbursed about N9.5 billion as the first tranche of Back End Computation (BEC) arrears to eligible pensioners of the defunct Power Holding Company of Nigeria.
The Executive Secretary of PTAD, Mrs Tolulope Odunaiya, described the payments as a significant milestone in the Federal Government’s efforts to clear inherited pension obligations and strengthen confidence in the Defined Benefit Scheme.
Odunaiya said the settlement was made possible following presidential approval granted in 2025 and funding provided under the 2026 Appropriation Act.
She noted that the intervention had enabled the directorate to resolve long-standing pension liabilities affecting thousands of retirees.
“The successful settlement reflects the Federal Government’s commitment to sustaining pension reforms and ensuring that retirees receive their entitlements promptly in line with the objectives of the Renewed Hope Agenda,” she said.
Odunaiya thanked the affected pensioners for their patience while the liabilities remained outstanding and reaffirmed PTAD’s commitment to transparent, efficient and pensioner-focused service delivery.
She added that the directorate would continue to work towards improving pension administration and ensuring timely payment of retirees’ benefits.
