National Telescope national telescope newspaper
The Federal Government has committed to clearing outstanding pension arrears, as only 25% of the 2024 budgeted funds for pensions has been released.
This pledge came on Tuesday after retirees under the Contributory Pension Scheme held a protest at the Federal Ministry of Finance in Abuja, demanding timely payment of their entitlements.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, addressed the protesters, revealing that N22 billion of the N88 billion allocated for pension arrears this year has already been disbursed.
Edun assured retirees that the remaining funds would be released before the year’s end, with payments set to begin next week.
Edun further noted that the government plans to raise additional funds through the capital market to address pension backlogs more sustainably.
“This backlog requires a long-term solution, and we’re working on a financial strategy to clear it completely,” he said.
During the protest, Nigeria Union of Pensioners (NUPCPS) Chairman Sylva Nuatawu emphasized the retirees’ financial struggles, calling for adjustments in pensions to align with the recent National Minimum Wage Amendment Act.
He urged the government to implement the N32,000 pension increase and address the 18-month backlog of pension payments under the Contributory Pension Scheme (CPS).
The backlogs owed by federal and state governments are estimated to exceed N193 billion, with the FG alone responsible for over N88 billion.
