Pension Payouts Rise To N14.83bn Monthly for 241,000 Retirees

Monthly pension payments to retirees under the Contributory Pension Scheme (CPS) have risen to N14.83 billion, up from N12.15 billion, benefiting more than 241,000 retirees nationwide.

The director-general of the National Pension Commission (PenCom), Ms Omolola Oloworaran, disclosed this at the 2026 Media Conference in Lagos, where she outlined recent reforms in the industry.

According to her, the increase followed pension adjustments implemented to cushion retirees against rising cost of living and to ensure their benefits retain value.

“The adjustment has improved the monthly take-home of over 241,000 retirees from N12.15 billion to N14.83 billion,” Oloworaran said.

She added that the Commission is working to sustain the purchasing power of retirees through its new Minimum Pension Guarantee, which will set a minimum threshold below which no CPS retiree will earn.

Beyond the monthly pension rise, Oloworaran announced two major welfare boosts; the federal government has introduced a 100 per cent exit benefit for employees of Treasury-funded Ministries, Departments and Agencies (MDAs). Effective January 1, 2026, eligible workers receive an additional lump sum equal to 100 per cent of their annual emolument upon retirement. Already, 175 retirees have received about N1.1 billion under the scheme.

“Also, PenCom is launching the PenCare Retiree Health Programme, which will provide free healthcare to low-income retirees. The pilot phase will cover 30,000 beneficiaries.”

She also revealed that the federal government has cleared all inherited pension liabilities dating back to 2007 through a N758 billion intervention bond, ending nearly two decades of arrears.

To improve service delivery, Oloworaran said PenCom has reduced the time for approving retirement benefits from up to 21 months to 48 hours, saying “for the first time, what used to take 21 months now takes 48 hours.”

She urged federal workers due for retirement and MDAs yet to complete verification to do so before the December 2026 deadline, as government has already credited accrued rights up to December 2029.

Nigeria’s pension assets currently stand at N31.48 trillion as of July 2026, up from N20.79 trillion in July 2024, with 938,229 new contributors added within the period.