Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, announced that the federal government will begin making payments to address the pension backlog starting next week.
He made the statement during a protest by the Nigeria Union of Pensioners Contributory Pension Scheme Sector (NUPCPS) at the Federal Ministry of Finance in Abuja on Tuesday.
“We will commence payments next week, clearing as much as we can under the current budget approved by the National Assembly,” Edun said. “The issue we’re facing is a backlog of contributions, and I want to assure you that there is a clear solution in place.”
He explained that a committee, convened under the Office of the Head of Service, has been working alongside both the Minister of Budget and himself to formulate a strategy for addressing the backlog under the Contributory Pension Scheme (CPS).
The solution, according to Edun, involves utilizing the capital market to raise funds through financial instruments that will help clear the backlog once and for all. “We have a concrete plan that will be presented to the President, involving the financial market, to settle this massive backlog under the CPS,” he said.
Edun expressed his dissatisfaction with the fact that pensioners had to protest by spending their own money to come to the ministry. “I am not pleased that you have had to take such measures. I assure you, whenever you or your representatives wish to meet with me, I will make myself available,” he said. He further added, “I was unaware of the November 11 deadline, otherwise, I would have worked to avoid this situation. I understand how costly it is for you, especially given your age and the current cost of living. I deeply regret that it came to this.”
A Cry for Urgent Action
Sylva Nwaiwu, the National Chairman of NUPCPS, appealed to the Minister to urgently address the pension issues, highlighting that the federal government had not released accrued pension rights for retirees since March 2023. “Our senior citizens are enduring untold hardships after dedicating their youth to serve the nation, and this is the treatment we receive in return,” Nwaiwu said, urging Edun to use his position to resolve the crisis.
Nwaiwu emphasized the dire situation many pensioners are facing, with some bedridden and others dying while still fighting for their pensions. “We can no longer afford basic necessities. We are struggling to feed ourselves, care for our families, and manage our medical expenses,” he lamented.
While thanking President Bola Tinubu for his decision to increase the minimum wage, Nwaiwu pointed out that pensioners have not benefitted from any increases under the National Minimum Wage Act. He added that despite the group submitting several letters to the Minister, none had been acknowledged, which led to the decision to organize the protest.
Christiana Ubah, a pensioner who retired in 2015 from the Budget Office of the Federation, shared her personal struggles. “I am unable to feed myself, and you can see the toll it’s taken on me. This is what hunger looks like,” Ubah said. She also mentioned that according to Nigeria’s constitution, salaries and pensions should be reviewed every five years, and she hopes this principle will be reflected in future pension adjustments.
The growing frustration among pensioners has drawn attention to the need for swift government action, as many face financial ruin due to the delays in pension disbursements. The protest serves as a powerful reminder of the urgent need to prioritize the welfare of Nigeria’s senior citizens, many of whom have given years of service to the country.
