FG Disburses N1.1bn to 175 Retirees Under New Exit Benefit Scheme

The Federal Government has paid N1.1 billion to 175 retirees from treasury-funded Ministries, Departments and Agencies, MDAs, under its new Exit Benefit Scheme.

The National Pension Commission, PenCom, disclosed this in a statement issued on Friday, stating that the beneficiaries retired from the Federal Public Service between January 1 and August 31, 2026.

The payment is being made under the Federal Government Exit Benefit Scheme, EBS, which was approved by the Federal Executive Council and became effective from January 1, 2026.

The scheme was introduced to provide an additional financial benefit to federal workers when they retire, apart from the pension benefits they receive under the Contributory Pension Scheme, CPS.

PenCom said funds had been provided in the 2026 Appropriation to support the implementation of the scheme. A total of N32.90 billion was budgeted for the Additional Exit Benefits Scheme for federal government retirees.

The commission disclosed that the Federal Government had so far released N12.3 billion into a dedicated Exit Benefit Scheme Account held with the Central Bank of Nigeria, CBN.

The first payment of N1.1 billion to the 175 retirees marks the commencement of the additional retirement benefit programme.

The scheme is expected to provide extra financial support to eligible federal workers who leave public service after meeting the required conditions.

PenCom said the implementation of the programme would provide retirees with an additional benefit alongside their regular pension payments under the existing contributory pension system.

The commencement of the payment comes as the Federal Government begins the process of implementing the newly approved retirement benefit scheme for workers in treasury-funded agencies.

The commission’s disclosure also indicates that more retirees who meet the requirements of the programme are expected to benefit as the scheme continues.