Nigeria Begins New Retirement Benefit Payments to 175 Civil Servants

Nigeria's Federal Government has begun disbursing a new, additional retirement benefit to eligible civil servants, with an initial payment of ₦1.1 billion to 175 retirees. The National Pension Commission, PenCom, announced the payments on Friday, September 11, 2026, marking the formal launch of the Federal Government Exit Benefit Scheme. The scheme, which took effect on January 1, 2026, provides a supplementary payment equivalent to 100% of a retiree's total annual emolument. This benefit is separate from the standard pension benefits accumulated under the Contributory Pension Scheme. The initial disbursement covers federal civil servants from treasury-funded Ministries, Departments, and Agencies who retired between January 1 and August 31, 2026. To qualify, federal employees must have completed at least 10 years of service. PenCom stated that the scheme was approved by the Federal Executive Council to provide additional financial support as workers transition from active employment. The commission emphasized that the exit benefit is an additional payment, existing alongside the usual benefits drawn from retirees' Retirement Savings Accounts.