The Pension Transitional Arrangement Directorate (PTAD) has completed 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 contained in a statement issued on Monday by PTAD’s Head of Corporate Communications, Mr Olugbenga Ajayi.
According to PTAD, the latest disbursement brings to a close all outstanding arrears linked to the pension increase approved to enhance retirees’ welfare. The increment, authorised by the National Salaries, Incomes and Wages Commission, took effect from July 29, 2024.
Ajayi said a total of N1.734 billion was paid to 54,206 eligible DBS pensioners.
A breakdown shows that 25,804 pensioners under the Parastatals Pension Department received N825.728 million, while 28,402 pensioners in the Tertiary Education and Health Pension Department were paid N908.864 million.
He noted that the payments covered a 13-month arrears period spanning August 2024 to August 2025.
“With this final disbursement, all outstanding obligations relating to the N32,000 pension increment have been fully settled,” Ajayi said.
PTAD had commenced implementation of the increment following funding support from the Federal Government, beginning with a partial release of N20.19 billion for pension adjustments.
The increment comprised a flat increase of N32,000 alongside percentage adjustments of 10.66 per cent and 12.95 per cent, with payments reflected in the September 2025 payroll.
The funding formed part of a broader N45 billion emergency allocation approved for pension reforms, with arrears paid in phases between December 2024 and December 2025 before the final settlement.
The agency clarified that not all pensioners qualified for the flat-rate increase, as some had already benefited from separate percentage adjustments.
Affected organisations include Peoples Bank, Assurance Bank, Nigeria Reinsurance, NICON Insurance, NITEL/MTEL, PTI, and PHCN, which were exempted from the flat increment in line with regulatory provisions.
PTAD reaffirmed its commitment to prompt and transparent pension payments, noting that ongoing reforms are aimed at improving retirees’ welfare.
The pension increment is part of a broader reform agenda approved by President Bola Tinubu to strengthen the DBS system. Measures under consideration include harmonisation of pension rates in the 2026 budget and the introduction of health insurance coverage for DBS pensioners.
The initiatives are expected to ease healthcare costs and improve access to medical services for retirees, reinforcing efforts to enhance their living conditions.
