The Federal Government has announced the payment of more than ₦39 billion in inherited pension liabilities owed to thousands of retirees under the Defined Benefit Scheme, saying the settlement reflects its commitment to clearing long-standing pension obligations.

The payment, disclosed on Friday by the Pension Transitional Arrangement Directorate (PTAD), covers outstanding entitlements owed to pensioners of the defunct Nigerian Telecommunications Limited (NITEL), Mobile Telecommunications Limited (MTEL), Power Holding Company of Nigeria (PHCN), Assurance Bank, NICON and the defunct People's Bank of Nigeria.

According to PTAD, the disbursement includes ₦25.05 billion for a 35-month pension liability owed to 9,675 eligible NITEL/MTEL pensioners, ₦9.48 billion representing the initial 50 per cent payment of Back End Computation arrears to 3,959 eligible PHCN pensioners, and ₦5.09 billion covering the balance of the 10.66 per cent and 12.95 per cent pension increment arrears due to 11,180 eligible pensioners of Assurance Bank, NICON, NITEL and People's Bank.

The directorate described the payment as a significant step in the Federal Government's efforts to improve the welfare of retirees under the Defined Benefit Scheme in line with the Renewed Hope Agenda.

Speaking on the development, PTAD Executive Secretary, Tolulope Odunaiya, commended President Bola Tinubu for his continued support for pension administration and the welfare of pensioners.

She said the payment represents another milestone in the government's commitment to protecting the dignity and well-being of retirees.

"These landmark achievements mark yet another significant milestone in the Federal Government's unwavering commitment to safeguarding the welfare and dignity of Defined Benefit Scheme pensioners. It is a clear demonstration of the visionary leadership of His Excellency, President Bola Ahmed Tinubu, whose Renewed Hope Agenda places priority on social protection, inclusive governance, and the well-being of senior citizens," she said.

Odunaiya added that the President's intervention had restored confidence in the Defined Benefit Scheme by resolving pension liabilities inherited over several years.

She noted that under the current administration, the directorate has successfully cleared all outstanding inherited pension obligations, providing relief to thousands of pensioners.

The PTAD Executive Secretary explained that the payments followed presidential approval granted to the directorate in August 2025, while the necessary funding was provided through the 2026 Appropriation Act.

According to her, the settlement demonstrates the Federal Government's determination to sustain ongoing pension reforms and ensure that retirees receive their benefits promptly in line with the objectives of the Renewed Hope Agenda.

Odunaiya also appreciated affected pensioners for their patience and understanding while the outstanding liabilities were being resolved.

She reaffirmed PTAD's commitment to delivering efficient, transparent and pensioner-focused services while supporting the Federal Government's efforts to protect the welfare and dignity of retirees under the Defined Benefit Scheme.

The latest payment forms part of the Federal Government's broader efforts to resolve inherited pension obligations and strengthen confidence in Nigeria's pension administration system.