Yemisi Izuora
The Pension Transitional Arrangement Directorate (PTAD) has ramped up efforts to eliminate long-standing pension liabilities, disbursing N55.9bn in December 2025 to retirees and the next-of-kin of deceased pensioners under the Defined Benefits Scheme.
The latest payout, announced in a statement issued on Friday by PTAD’s Head of Corporate Communications, Olugbenga Ajayi, reflects a major push to clear accumulated arrears that have weighed on pensioners across federal government institutions.
According to the Directorate, only N13.41bn of the total sum went to routine monthly pensions, while a significantly larger portion, N42.5bn, was deployed to settle outstanding arrears owed to pensioners and beneficiaries.
PTAD explained that the arrears covered unpaid obligations linked to the N32,000 pension increment, as well as the 10.66 per cent and 12.95 per cent pension increases, alongside other accrued pension shortfalls, gratuities and death benefits.
A department-by-department breakdown showed that the Civil Service Pension Department accounted for the largest share, receiving N16.36bn for 71,643 pensioners. Beneficiaries under the Defunct and Transferred Agencies Department followed with N15.07bn paid to 24,995 pensioners.
The Parastatals Pension Department received N7.81bn covering 25,718 pensioners, while the Customs, Immigration and Prisons Pension Department was paid N604.33m for 8,606 pensioners.
The Tertiary Education and Health Department received N2.37bn for 28,245 pensioners, and the Police Pension Department recorded N5.88m paid to five beneficiaries.
In addition, PTAD disbursed N289.11m as gratuity and death benefits to eligible next-of-kin of deceased retirees.
The Directorate noted that the payments have largely extinguished arrears arising from the N32,000 pension increment across all departments, with only one outstanding month remaining for pensioners in the Parastatals Pension Department and the Tertiary Education and Health Department.
Reacting to the development, PTAD Executive Secretary, Tolulope Odunaiya, described the payments as a clear signal of the Federal Government’s resolve to prioritise the welfare of senior citizens.
She said the intervention aligns with President Bola Tinubu’s Renewed Hope Agenda and assured pensioners that efforts are ongoing to clear the remaining arrears.
PTAD is responsible for administering pensions under the old Defined Benefits Scheme, which covers federal public servants who retired before the introduction of the contributory pension system in 2004.