By Our Reporter
The Federal Government has promised to settle the N88 billion budgeted for pension arrears in 2024.
Minister of Finance and Coordinating Minister of the Economy Wale Edun made the promise in Abuja on Tuesday when hundreds of retirees from Nigeria’s Contributory Pension Scheme (CPS) gathered at the Federal Ministry of Finance to protest prolonged delays in pension arrears payments.
The retirees, frustrated by the lack of action, blocked the ministry’s main entrance and insisted on address by Edun.
Edun explained from the N88 billion budgeted for pension arrears in 2024, N22 billion has already been paid.
He said the remaining amount will be disbursed by year’s end. Payments will commence next week, he promised.
He attributed the pension backlog to issues within the older system and assured them that the Federal Government was committed to resolving the issue.
“There has been a committee under the Head of Service, which has met with the Minister of Budget and myself. We have a plan for dealing with the backlog under the Contributory Pension Scheme,” he stated.
For a long-term solution, Edun disclosed that the government is considering raising funds through the capital market to address the backlog fully.
“We’re working on a viable solution using the financial market to take care of the huge backlog under the Contributory Pension Scheme,” he said.