The Pension Transitional Arrangement Directorate (PTAD) has announced the commencement of the long-awaited pension increment for retirees under the Defined Benefit Scheme (DBS), following the release of funds by the Federal Ministry of Finance.
In a statement issued on Tuesday, PTAD confirmed that eligible pensioners will begin to receive the adjusted payments from the September 2025 payroll cycle.
The adjustment includes a ₦32,000 pension increase, harmonisation across all DBS pensioners, coverage under the National Health Insurance Scheme, and the settlement of long-standing unfunded pension liabilities.
According to the directorate, this development was made possible through the partial release of ₦820.188 billion out of the ₦845 billion emergency funding earlier approved by President Bola Ahmed Tinubu.
“Further to the President’s approval of the emergency budgetary allocation for the payment of the new pension increment rates… the Directorate is delighted to announce the commencement of the implementation of the 832,000, 10.66%, and 12.95% pension increment for eligible pensioners,” the statement read in part.
The DBS covers pensioners who retired before the adoption of the Contributory Pension Scheme in 2004, including retirees from defunct government institutions, privatised agencies, and treasury-funded parastatals.
For years, many of them have battled irregular payments, delayed harmonisation, and poor healthcare access—challenges the new reforms are designed to address.
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PTAD expressed gratitude to President Tinubu for approving the allocation and acknowledged the contributions of the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, the Minister of State for Finance, Dr Doris Uzoka-Anite, the Accountant-General of the Federation, and parliamentary committees who played key roles in facilitating the release of funds.
It also commended organised pension groups such as the Nigeria Union of Pensioners (NUP) and the Federal Parastatals and Private Sector Pensioners Association of Nigeria (FEPPAN) for their cooperation during negotiations.
Reaffirming its commitment to pensioners, the directorate said it would continue to collaborate with relevant authorities to ensure the release of outstanding funds and fulfilment of future pension obligations.
“This milestone clearly reaffirms the Federal Government’s dedication to safeguarding the welfare and entitlements of DBS pensioners in line with the Renewed Hope Agenda,” PTAD added.