The federal government has cleared more than N39.6 billion in longstanding pension liabilities under the Defined Benefit Scheme, bringing relief to thousands of retirees who had waited for years.

Executive Secretary of the Pension Transitional Arrangement Directorate, Tolulope Odunaiya, disclosed this during a visit to the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele.

According to a statement from the Federal Ministry of Finance, the payments include N25.05 billion representing 35 months of outstanding pension liabilities owed to 9,675 eligible pensioners of the defunct NITEL and MTEL.

The settlement also includes N9.48 billion as the initial 50 per cent payment of Back End Computation arrears to 3,959 eligible PHCN pensioners, as well as N5.09 billion representing the balance of the 10.66 per cent and 12.95 per cent pension increment arrears owed to 11,180 eligible pensioners of the defunct Assurance Bank, NICON, NITEL and People’s Bank of Nigeria.

Odunaiya said the payments followed presidential approval granted in August 2025, with funding provided under the 2026 Appropriation Act. She said the exercise has now closed all inherited pension liabilities under the Defined Benefit Scheme.

Oyedele commended PTAD for executing the payments, saying the development shows the government’s commitment to meeting old obligations through responsible fiscal management.

The minister said the settlement restores confidence and dignity to pensioners who had endured long delays. He added that the Ministry of Finance will continue supporting measures that strengthen public financial management and ensure government obligations are met sustainably and on time.

The payment marks one of the most significant recent interventions for retirees under the old pension arrangement.