Nigeria's government authorizes N758 billion in bonds to pay down pension obligations
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Bonds totaling ₦758 billion have been approved by the Federal Government to cover long-standing
pension obligations, including increases that have been due since 2007.Ms. Omolola Oloworaran, the Director-General of the National Pension Commission (PenCom), made this announcement Thursday in Yola, Adamawa, during a two-day workshop aimed at educating employees and pensioners in the Northeast on the Contributory Pension Scheme (CPS).Oloworaran, speaking through Alhaji Bello Abubakar, PenCom's Commissioner for Administration, characterized the decision as a daring move by President Bola Tinubu's administration to help vulnerable pensioners and rebuild trust in the pension system.
According to her, the training was a component of ongoing changes aimed at raising retirees' and other stakeholders' awareness and comprehension of the CPS.
She claims that pension hikes for more than 241,000 retirees, or 80% of those covered by the planned withdrawal arrangement, are among the other significant interventions included in the revisions.
With effect from June 2025, the increases increased monthly payouts from ₦12.15 billion to ₦14.83 billion.
As of July 2025, retirees can now collect their benefits right away after retirement thanks to the Commission's elimination of the waiting period for pension payments.
In accordance with Section 4(4) of the Pension Reform Act (PRA) 2014, the PenCom DG declared, "the proposed reintroduction of gratuity for civil servants, with a framework developed to restore gratuity benefits for federal workers under CPS."
She claims that pension hikes for more than 241,000 retirees, or 80% of those covered by the planned withdrawal arrangement, are among the other significant interventions included in the revisions.
With effect from June 2025, the increases increased monthly payouts from ₦12.15 billion to ₦14.83 billion.
As of July 2025, retirees can now collect their benefits right away after retirement thanks to the Commission's elimination of the waiting period for pension payments.
In accordance with Section 4(4) of the Pension Reform Act (PRA) 2014, the PenCom DG declared, "the proposed reintroduction of gratuity for civil servants, with a framework developed to restore gratuity benefits for federal workers under CPS."
She clarified that the goal of the program was to further increase pensioners' welfare and post-retirement benefits.
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