FG Clears N39.6bn Pension Arrears Under Renewed Hope

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ABUJA – The Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, has received the Executive Secretary of the Pension Transitional Arrangement Directorate (PTAD), Mrs. Tolulope Odunaiya, on a briefing over the successful settle­ment of more than ₦39.6 billion in longstanding pension liabilities un­der the Defined Benefit Scheme (DBS).

Efe Ovuakporie, Head, Information and Public Re­lations, in a statement on Friday said that the briefing highlighted another mile­stone in the implementation of President Bola Ahmed Tinubu’s Renewed Hope Agenda, following the Feder­al Government’s clearance of inherited pension obligations that had remained outstand­ing for years.

Mrs. Odunaiya informed the Minister that the pay­ments comprise ₦25.05 bil­lion representing the out­standing 35-month pension liability owed to 9,675 eligible pensioners of the defunct NITEL/MTEL; ₦9.48 billion representing the initial 50 per cent payment of the Back End Computation (BEC) arrears to 3,959 eligible PHCN pension­ers; and ₦5.09 billion repre­senting the balance 50 per cent payment 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.

She explained that the set­tlement followed Presidential approval granted in August 2025, with the required fund­ing subsequently provided under the 2026 Appropriation Act. According to her, the ex­ercise has now brought to a close all inherited pension liabilities under the Defined Benefit Scheme, providing long-awaited relief to thou­sands of pensioners.

Commending PTAD for the successful execution of the exercise, the Honourable Minister said the settlement demonstrates the Federal Government’s resolve to ad­dress longstanding obliga­tions through prudent fiscal management and responsible governance.

“For many pensioners, this is more than the settlement of outstanding arrears; it is the restoration of confidence and dignity. The Ministry of Finance will continue to sup­port measures that strengthen public financial management while ensuring that govern­ment obligations are met in a sustainable and timely man­ner,” Mr. Oyedele said.

The development marks another milestone in the im­plementation of the Renewed Hope Agenda, reflecting the Federal Government’s focus on meeting longstanding obli­gations, strengthening public confidence and improving the welfare of pensioners.