FG Orders Payment Of N39bn Owed NITEL, Mtel Pensioners

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ABUJA – President Bola Tinubu has ap­proved the liquidation of more than N39 billion in inherited De­fined Benefit Scheme (DBS) pen­sion liabilities, being 35-month pension arrears owed to 9,675 el­igible pensioners of the defunct NITEL/MTEL.

This development was con­firmed by the leadership of the Federal Parastatals and Private Sector Pensioners Association of Nigeria (FEPPPAN) in a statement, made available to our reporter on Monday.

According to the statement jointly signed by its Presi­dent-General, Elder Benjamin Maisamari Amako, and Gener­al Secretary, Mr. Franklin Erinle, noted that the Federal Govern­ment was demonstrating gen­uine commitment to restoring the dignity, welfare and financial security of thousands of retirees whose pension entitlements had remained outstanding for years.

FEPPPAN acknowledged the roles played by the Pension Transitional Arrangement Di­rectorate (PTAD), the National Assembly, the Federal Ministry of Finance, the Budget Office of the Federation, the Office of the Accountant-General of the Federation and other relevant government institutions for facil­itating the presidential approval.

It noted that the intervention reflects the importance President Tinubu attaches to social protec­tion, responsible governance and the welfare of pensioners under the Renewed Hope Agenda.

According to FEPPPAN, the over N39 billion settlement includes N25.05 billion paid to clear the outstanding 35-month pension liabilities of eligible pen­sioners of the defunct NITEL/ MTEL, N9.48 billion represent­ing the first tranche of the Back End Computation (BEC) arrears for eligible PHCN pensioners and N5.09 billion covering the outstanding balance of the 10.66 percent and 12.95 percent pension increment arrears due to eligible pensioners of the defunct Assur­ance Bank, NICON, NITEL and People’s Bank of Nigeria.

“This is a clear demonstration of the president’s commitment to the welfare of pensioners under the Renewed Hope Agenda and a significant step towards restor­ing the dignity, confidence and fi­nancial security of retirees who devoted the greater part of their productive years to the service of the nation.

“This settlement represents not only the liquidation of in­herited financial liabilities but also the restoration of hope to thousands of retirees and their families who had patiently await­ed the fulfilment of government’s obligations,” FEPPPAN leader­ship stated.

The association, however, re­minded the Federal Government that pension is “neither a privi­lege nor an act of charity” but a legitimate right earned through years of dedicated service.

It appealed to President Tinu­bu to sustain the momentum by ensuring the settlement of all outstanding pension obligations, prompt payment of monthly pensions and continued reforms capable of protecting retirees against inflation and the rising cost of living.

Amako said PTAD acted pro­fessionally in implementing the presidential approval through the verification of beneficiaries, computation of entitlements and seamless disbursement of the ap­proved funds.

FEPPPAN also applauded the National Assembly over what it described as making the necessary budgetary provisions through the 2026 Appropriation Act.