Nigeria clears pension backlog benefiting nearly a million people

Nigeria’s federal government has cleared inherited pension debts, some dating back to 2007, using a 758 billion naira bond, according to the National Pension Commission. The intervention has benefited more than 957,000 people.

The commission’s director-general, Omolola Oloworaran, announced the settlement at a media conference in Lagos on 6 October. The obligations had been passed between successive administrations, leaving retirees waiting for benefits they had already earned.

Alongside settling old debts, the commission reported faster approvals. Retirement benefits for eligible federal workers who have completed the required procedures are now approved within 48 hours, down from waits of up to 21 months. Its “Zero Waiting Time” policy aims to prevent long gaps between leaving work and receiving a pension.

The commission also said pension entitlements already earned by some enrolled federal employees due to retire through December 2029 had been credited to their retirement savings accounts ahead of time.

Separately, pension adjustments have increased monthly payments for more than 241,000 retirees. The commission says preventing new arrears is now a priority, alongside extending pension coverage to more people working outside formal employment, including traders, artisans and farmers.