FG clears 17-year pension backlog with N758bn intervention bond
The Federal Government has cleared all inherited pension liabilities dating back to 2007 with a N758bn intervention bond, benefiting 957,045 retirees. Read More:…
Nigeria's contributory pension scheme, introduced in 2004, was meant to replace the old pay-as-you-go system that left many federal retirees waiting years for gratuities and monthly pensions due to funding shortfalls. However, a backlog of liabilities owed to workers who retired under the defined benefits scheme before and shortly after the transition lingered for nearly two decades, with successive administrations citing budgetary constraints for the delay in settling arrears, including death benefits and accrued rights.
The clearance of this long-standing debt through an intervention bond marks one of the largest single settlements of federal pension arrears in recent history, directly affecting hundreds of thousands of retirees who had been owed since 2007. Both reports agree on the bond's size and the 2007 start date of the liabilities, though details on how the bond was structured, which agency issued it, and the timeline for disbursement to beneficiaries have yet to be fully clarified across the coverage.