‘Federal Government’s N1.376trn Pension Provision Commendable’

The Contributory Pension and Happy Retirement Advocacy (COPEHRA) has commended the federal government for proposing N1.376 trillion in the 2026 budget to clear outstanding pensions, gratuities and retirees’ benefits.
The chairman of COPEHRA, Mr. Sani Mustapha, gave the commendation in Abuja on Sunday, describing the allocation as a strong signal of the government’s renewed commitment to pensioners’ welfare.
Mustapha expressed optimism that 2026 would be a more robust and timely year for pension payments, noting that recent reforms had begun to yield tangible results for retirees across the country.
He also praised the National Pension Commission (PenCom) for what he described as significant progress in pension administration and disbursement.
According to him, PenCom has so far disbursed over N577 billion from a N758 billion federal government bond, aimed at clearing pension arrears and improving retirees’ welfare, with payments reaching more than one million Retirement Savings Accounts (RSAs) by late 2025.
The chairman noted that monthly pension payouts have continued to rise, while ongoing reforms were enhancing benefit adequacy, signalling what he called a new era of timely and improved pension support.
Mustapha highlighted PenCom’s future reform outlook, including the “Zero Waiting Time” initiative, which seeks to eliminate delays in accessing retirement benefits.
He also cited the steady increase in monthly pension payments, which rose from N8.3 billion to N11.9 billion by mid-2025, largely driven by strong investment returns.
In addition, he referenced Pension Revolution 2.0, a comprehensive reform programme focused on stronger governance, digital transformation and improved benefit adequacy within the contributory pension scheme.
The COPEHRA chairman advised pensioners experiencing challenges with their benefits to lodge complaints through the appropriate channels to ensure timely resolution.
He further urged informal sector workers to take advantage of the Personal Pension Plan (PPP), which offers greater flexibility in contributions and withdrawals.
According to him, the scheme is designed to cater for artisans, traders, transport operators and other informal earners who lack access to formal pension arrangements, enabling them to save adequately for retirement.