Barbara Bako, Abuja.
The Federal Government has commenced payment of additional exit benefits to retiring civil servants, with about N1.1 billion already paid to 175 retirees who exited the Federal Public Service between January and August 2026.
The National Pension Commission (PenCom) in a statement on Friday said the payment is being made under the Federal Government Exit Benefit Scheme (EBS), which took effect on January 1, 2026, following approval by the Federal Executive Council.
Under the scheme, eligible Federal Government employees who have served for at least 10 years are entitled to an exit benefit equivalent to 100 per cent of their total annual emolument at retirement.
The additional benefit is separate from pension benefits accumulated under the Contributory Pension Scheme (CPS), and is designed to provide retiring civil servants with additional financial support after leaving active service.
The Federal Government allocated N32.90 billion for the scheme in the 2026 Appropriation, while N12.3 billion has so far been released into a dedicated Exit Benefit Scheme account maintained with the Central Bank of Nigeria.
PenCom is supporting the implementation in collaboration with the Office of the Head of the Civil Service of the Federation, the Office of the Accountant-General of the Federation, Pension Fund Administrators (PFAs) and other stakeholders.
Under the payment process, retirees are required to submit relevant documents, including their clearance letters and recent payslips, to their PFAs for verification.
The PFA then forwards the verified records to PenCom for validation and approval.
Once approved, the exit benefit is credited to the retiree’s Retirement Savings Account through the PFA before the full amount is transferred to the retiree’s designated salary account.
PenCom said the commencement of payment marked a major milestone in efforts to provide additional retirement benefits beyond retirees’ accumulated Retirement Savings Account balances.
The commission added that all subsequent retirees of treasury-funded MDAs who meet the eligibility requirements would be entitled to the additional exit benefit as the scheme continues.
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