The Federal Government has released an additional N22 billion to cover accrued pension rights for retirees in Ministries, Departments, and Agencies (MDAs) under the Contributory Pension Scheme. This was announced by the National Pension Commission (PenCom) through its official social media channels.
According to PenCom, the funds, released through the Office of the Accountant-General of the Federation, are intended to settle pension entitlements for retirees who left service between October 2023 and January 2024. The disbursement also includes payments for the accrued rights of some deceased employees.
Fund Allocation and Payment Process
The allocated funds have been deposited into the Retirement Benefits Bond Redemption Fund Account at the Central Bank of Nigeria (CBN). These funds are being transferred to retirees’ Retirement Savings Accounts (RSAs) through their respective Pension Fund Administrators (PFAs).
PenCom has advised retirees covered under this phase to contact their PFAs to complete the necessary documentation and access their benefits. The Commission has also instructed PFAs to expedite the payment process to ensure retirees receive their entitlements without delays.
Total Pension Disbursement for 2024
With this latest release, the total amount disbursed from the 2024 budget appropriation for accrued pension rights has now reached N66 billion.
In a similar development, the Federal Government previously disbursed N44 billion in December 2024 to cover accrued pension rights for retirees between March and September 2023, as well as some deceased beneficiaries.
Concerns Over Selective Payments
Despite the recent disbursements, the Centre for Pension Rights Advocacy has expressed concerns over the selective payment of accrued rights. The organization has criticized the government’s approach, urging it to meet its full legal obligations rather than treating pension payments as acts of goodwill.
Way Forward
As retirees continue to receive their entitlements, PenCom reassures stakeholders of its commitment to ensuring the timely settlement of pension benefits. The Commission encourages all eligible retirees to stay informed and follow up with their respective PFAs for a smooth claims process.
