The Federal Government has commenced the payment of Additional Exit Benefits to retirees of Treasury-funded Ministries, Departments and Agencies (MDAs). Approximately ₦1.1 billion has been paid to 175 retirees who exited the Federal Public Service between 1 January and 31 August 2026.
The National Pension Commission (PenCom) confirmed the payments in a statement issued on Friday. The disbursements are being made under the Federal Government Exit Benefit Scheme (EBS), which the Federal Executive Council approved and which took effect from 1 January 2026.
The Scheme provides an additional financial benefit to eligible Federal Government employees at retirement, in addition to their pension entitlements under the Contributory Pension Scheme (CPS). Federal civil servants who have served for at least 10 years are entitled to an Exit Benefit equivalent to 100 per cent of their total annual emolument.
The 2026 Appropriation Act allocated ₦32.90 billion for the implementation of the Scheme. So far, the Federal Government has released ₦12.3 billion into the dedicated Exit Benefit Scheme Account maintained with the Central Bank of Nigeria (CBN).
PenCom is supporting the implementation by working with the Office of the Head of the Civil Service of the Federation (OHCSF), the Office of the Accountant-General of the Federation (OAGF), Pension Fund Administrators (PFAs) and other stakeholders to process and pay the benefits.
The maiden payment of ₦1.1 billion to 175 retirees marks the official commencement of the Additional Exit Benefits Scheme. All subsequent retirees of Treasury-funded MDAs who meet the eligibility criteria will receive the additional exit benefit of 100 per cent of their total annual emolument upon retirement.