By The Federal Government has announced the settlement of more than N39 billion in inherited pension liabilities owed to thousands of pensioners under the Defined Benefit Scheme (DBS), describing the move as part of efforts to strengthen pension administration and improve the welfare of retirees.
The Pension Transitional Arrangement Directorate (PTAD), in a statement issued on Friday July 3, 2026, said the payments were made in line with President Bola Ahmed Tinubu’s commitment to clear outstanding pension obligations under the Renewed Hope Agenda.
According to the agency, a total of N25.05 billion was paid to offset the outstanding 35-month pension liability owed to 9,675 eligible pensioners of the defunct NITEL/MTEL.
PTAD also disclosed that N9.48 billion was released as the initial 50 per cent payment of Back End Computation (BEC) arrears for 3,959 eligible PHCN pensioners.
In addition, the Directorate said N5.09 billion was paid as the remaining 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.
The agency said the payments represent another milestone in the Federal Government’s efforts to address inherited pension liabilities and safeguard the welfare of retired public servants.
PTAD Executive Secretary, Tolulope Odunaiya, commended President Tinubu for supporting the Directorate’s efforts to resolve longstanding pension issues.
”Under the President’s leadership, the Directorate has successfully resolved all longstanding inherited pension liabilities, bringing lasting relief to thousands of DBS pensioners,” she said.
Odunaiya explained that the settlements became possible after presidential approval granted in August 2025, with funding subsequently provided under the 2026 Appropriation Act.
She added that clearing the outstanding liabilities reflects the government’s commitment to sustaining pension reforms and ensuring that pensioners receive their entitlements without unnecessary delays.
“The successful liquidation of these liabilities underscores the Federal Government’s resolve to sustain pension reforms and ensure that DBS pensioners receive their rightful entitlements in a timely manner, consistent with the objectives of the Renewed Hope Agenda,” she said.
PTAD also expressed appreciation to affected pensioners for their patience while the liabilities remained unpaid, assuring them of its commitment to transparent, efficient and pensioner-centred service delivery.
