FG pays ₦1.1bn exit benefits to 175 retirees under new scheme effective Jan 2026

The Federal Government has paid about ₦1.1 billion in additional exit benefits to 175 retirees from treasury-funded Ministries, Departments and Agencies who left service between January 1 and August 31, 2026. The National Pension Commission (PenCom) said the payments were made under the Federal Government Exit Benefit Scheme (EBS), which took effect on January 1, 2026 after approval by the Federal Executive Council. Eligible civil servants with at least ten years of service receive a lump sum equal to 100% of their total annual emolument at retirement, separate from their regular pension under the Contributory Pension Scheme and their Retirement Savings Account balances. PenCom noted that ₦32.9 billion was allocated for the scheme in the 2026 appropriation, while ₦12.3 billion has so far been released into the dedicated Exit Benefit Scheme Account held at the Central Bank of Nigeria. To claim the benefit, retirees must submit clearance letters and recent payslips to their Pension Fund Administrators (PFAs), which verify records and forward them to PenCom for approval; once approved, the amount is credited to the retiree’s RSA and then transferred to their designated salary bank account. The process involves the Office of the Head of the Civil Service of the Federation, the Office of the Accountant‑General of the Federation, PFAs and other stakeholders. PenCom also highlighted recent reforms: the launch of the PENCAP self‑service platform for remote data recapture in February 2026 and a proposal to raise the statutory pension contribution rate under the ongoing review of the Pension Reform Act 2014.

SOURCE: https://nairametrics.com/2026/09/11/fg-pays-n1-1-billion-additional-exit-benefits-to-175-retirees/