The Federal Government of Nigeria has begun disbursing N758 billion in pension arrears to retirees, with some beneficiaries receiving their payments symbolically at the inaugural National Pension Leadership Summit in Abuja. The Secretary to the Government of the Federation, Senator George Akume, disclosed this at the summit, stating that the funds were approved to settle accrued pension rights and strengthen pension protection for retirees.
The intervention aims to address outstanding pension obligations that had left retirees waiting for years to receive benefits legally due to them. Akume emphasized that a pension is not a favor granted by the government but a wage earned, deferred, and held in trust. He described the intervention as an act of restitution for Nigerians who have served the country and assured that the administration is determined to ensure that retirees receive their entitlements.
The administration plans to commence the implementation of the Minimum Pension Guarantee provided for under the Pension Reform Act 2014, alongside a national retiree well-being program. The program will begin by providing low-income retirees with access to essential healthcare. Akume stated that the initiatives mark a shift towards a pension system that not only provides retirement income but also protects the dignity and welfare of senior citizens.
A strong pension system, according to Akume, will mobilize long-term domestic savings, deepen financial markets, support productive investments, and contribute to sustainable national development. The administration recognizes pensions as both a social protection imperative and a strategic pillar of economic transformation under the Renewed Hope Agenda.
The Head of the Civil Service of the Federation, Abel Olumuyiwa Enitan, said the government's efforts to improve pensioners' welfare are in furtherance of President Bola Tinubu's Renewed Hope Agenda. He emphasized that retirees deserve recognition and appreciation for their contributions to national development and assured that their welfare will improve under the current leadership of the National Pension Commission.
The Director-General of the National Pension Commission, Omolola Oloworaran, stressed the need for a pension system that delivers tangible benefits to retirees. She noted that Nigeria must begin preparing for an ageing population and prioritize savings and investments to avoid a future where the population grows older without adequate financial security. Oloworaran also expressed concern that many private-sector workers are retiring into poverty and urged employers and employees to participate fully in the contributory pension scheme.
Oloworaran added that further reforms are underway to improve the efficiency of the pension system and expand its coverage. She emphasized that broader participation, improved savings habits, and sustained reforms are essential to ensuring that Nigerians can retire with financial security and dignity.
Key points
- The Federal Government has disbursed N758 billion in pension arrears to retirees.
- The administration plans to implement the Minimum Pension Guarantee and a national retiree well-being program.
- The pension system will be expanded to provide adequate protection for retirees across the country, including private-sector workers.
