The Pension Transitional Arrangement Directorate (PTAD) says it has made the payment of the final one-month arrears of the N32,000 pension increment to eligible retirees under the Defined Benefit Scheme (DBS).
The disclosure was made in a statement issued on Monday by PTAD’s Head of Corporate Communications, Mr Olugbenga Ajayi.
The payment marks the completion of all outstanding arrears tied to the pension increase introduced as part of efforts to improve retirees’ welfare.
What they are saying
PTAD confirmed that the latest disbursement concludes all payments relating to the N32,000 increment approved by the National Salaries, Incomes and Wages Commission, effective July 29, 2024.
- “A total sum of N1,734,592,000 was paid to 54,206 eligible DBS pensioners,” he said.
Under the Parastatals Pension Department, 25,804 pensioners received N825,728,000.
Meanwhile, 28,402 pensioners under the Tertiary Education and Health Pension Department were paid N908,864,000.
The payments covered a 13-month arrears period from August 2024 to August 2025.
- “With this final payment, all outstanding obligations of the N32,000 pension increment have been fully settled,” he said.
Get up to speed
PTAD had earlier begun implementing the pension increment following funding support from the Federal Government.
- The process started after a partial release of N20.19 billion for pension adjustments.
- The increment included a flat increase of N32,000 alongside percentage increases of 10.66% and 12.95%.
- Payments were reflected in the September 2025 payroll cycle.
The funding formed part of a broader N45 billion emergency allocation approved for pension reforms.
The arrears were paid in phases between December 2024 and December 2025 before the final settlement.
More insights
PTAD clarified that not all pensioners were eligible for the N32,000 flat increase due to existing adjustments.
- Some retirees had already benefited from separate percentage increases of 10.66% and 12.95%.
- Affected organisations include Peoples Bank, Assurance Bank, Nigeria Reinsurance, NICON Insurance, NITEL/MTEL, PTI, and PHCN.
- These categories were exempted from the flat-rate increment in line with regulatory directives.
The agency reaffirmed its commitment to timely and transparent pension payments.
Ajayi added that PTAD remains focused on ensuring improved welfare for pensioners through consistent reforms and accurate disbursement processes.
What you should know
The pension increment is part of a broader reform agenda approved by President Bola Tinubu to enhance the welfare of retirees.
- The reforms include the implementation of new pension rates across the DBS category.
- A harmonisation policy is also expected to be incorporated into the 2026 pension budget.
- The government plans to introduce health insurance coverage for all DBS pensioners.
- The initiative aims to reduce healthcare costs and improve access to medical services for retirees.
These measures underscore ongoing efforts to strengthen the pension system and improve living conditions for senior citizens.
