President Bola Ahmed Tinubu has endorsed significant reforms aimed at improving the welfare of retirees under Nigeria’s Defined Benefit Scheme (DBS), marking a major advancement in the country’s pension landscape. These reforms, which form part of Tinubu’s Renewed Hope Agenda, include a range of financial and healthcare measures designed to uplift pensioners and streamline pension management.
Among the key initiatives is the immediate allocation of extra budget funds to enforce newly approved pension rates for DBS retirees. The reforms also introduce a pension harmonisation policy scheduled for inclusion in the 2026 budget, alongside health insurance coverage under the National Health Insurance Scheme (NHIS) for all DBS pensioners, ensuring better access to healthcare services.
In addition to enhancing current pension payments, the government’s directive includes settling outstanding liabilities owed to pensioners from defunct entities such as NITEL/MTEL, which will be factored into the 2026 budget. Pension rates will be adjusted with a new baseline of N32,000, plus incremental increases for retirees from privatised and defunct agencies.
PTAD, Nigeria’s Pension Transitional Arrangement Directorate, has already disbursed N8.6 billion in pension arrears to over 148,000 DBS pensioners, reflecting the implementation of the 2024-approved pension increments. These payments covered multiple pension departments including civil service, parastatals, police, and customs retirees.
Overall, these reforms underscore President Tinubu’s commitment to enhancing social welfare for senior citizens and represent a transformative approach to pension administration in Nigeria, signaling a renewed focus on retirement security and inclusive financial policy.
Source: Nairametrics