“A Pension That Cannot Pay For Medicine Is Not A Pension” — Tinubu Orders Implementation Of 22-Year-Old Minimum Pension Guarantee

*Raises Minimum To ₦52,500

President Bola Tinubu has ordered the immediate implementation of the Minimum Pension Guarantee Scheme, 22 years after the initiative was provided for under Nigeria’s pension reform framework, while approving an increase in the recommended minimum monthly pension from below ₦20,000 to ₦52,500.

The President announced the decision on Tuesday, November 10, 2026, at the launch of the scheme organised by the National Pension Commission (PenCom) at the Conference Centre of the Presidential Villa, Abuja.

Tinubu, who was represented by Senate President Godswill Akpabio, said the implementation was intended to provide financial security for retirees under the Contributory Pension Scheme and prevent pensioners from falling into poverty after years of service.

He lamented that despite the legal framework establishing the scheme about 22 years ago, successive administrations had failed to implement it, leaving many retirees struggling to meet their basic needs.

According to him, the government has a responsibility to ensure that pensioners receive adequate financial protection, rather than allowing years of service to end in hardship and uncertainty.

“With the authority vested in me as the President and the Commander in Chief, I, President Bola Tinubu, hereby declare that the Minimum Pension Guarantee commences with effect from today,” he declared in the address delivered on his behalf.

He directed that the scheme be administered by the National Pension Commission under the applicable pension reform framework.

The President maintained that pension payments were not acts of generosity by the government but entitlements earned by workers through their contributions and years of service.

He stressed that the guarantee should remain a permanent obligation of the Nigerian state, irrespective of changes in political leadership.

“Not because this government is generous, but because it is their right. A serious country pays what it owes,” he said.

Tinubu added that future administrations must recognise the minimum pension guarantee as part of the government’s obligation to Nigerian workers.

“So every administration that comes after me, any administration that comes after mine now, hear me clearly: this one is now part of the contract between the Nigerian state and the Nigerian worker,” he stated.

The President expressed concern that inadequate pensions had left many retired workers unable to afford essential needs, particularly medical treatment, despite spending decades in public service.

He argued that a pension system should provide meaningful protection against financial hardship, especially as retirees become increasingly vulnerable to health challenges.

According to him, a single serious illness could wipe out the savings accumulated over decades and leave families struggling with the resulting financial burden.

“A pension that cannot pay for medicine is not a pension; it is a receipt,” Tinubu declared.

He maintained that the introduction of the scheme and the proposed higher minimum pension were necessary steps towards ensuring that retirement benefits provide a reasonable measure of financial security.

The President also linked the government’s ability to address pension liabilities to the economic reforms introduced by his administration, particularly the removal of fuel subsidy.

He argued that the reforms had increased the resources available to state governments, enabling them to address longstanding pension obligations while undertaking developmental projects.

Speaking on the progress made in clearing pension arrears, the Director-General of PenCom, Omolola Oloworaran, disclosed that state governments had paid approximately ₦1.07 trillion out of pension liabilities exceeding ₦2 trillion since the commencement of the Tinubu administration.

“Our states inherited almost 2 trillion, or rather, over N2 trillion naira in pension liability when this new administration started. Today, N1.07 trillion naira has been paid off,” she said.

According to the President, the increased revenues available to states following the removal of fuel subsidy had provided governors with greater financial capacity to meet obligations to retirees and invest in development.

Tinubu also used the occasion to criticise opposition politicians ahead of the 2027 presidential election, urging Nigerians to examine their records in government rather than rely solely on campaign promises.

He particularly referred to a former Vice President who served for eight years, in an apparent reference to former Vice President Atiku Abubakar, and questioned what measures had been introduced during that period to guarantee the welfare of retirees.

“Do not listen to what they promise. Promises are free.

“Look at what they did when they were in power in the past. One was the Vice President of this country for eight years. So let them answer three questions: Which retiree did you guarantee? Which pensioner did you insure? And which floor did you erect for them to retire on?” he asked.

The President maintained that previous administrations had the opportunity, legal framework and institutional resources to implement stronger pension protections but failed to do so.

He also criticised proposals to restore fuel subsidy, arguing that such a policy would undermine the increased revenues currently available to state governments.

Tinubu contended that returning to the previous subsidy arrangement could reduce resources available for infrastructure, public services and the settlement of pension obligations.

He argued that the restoration of subsidy should not be presented as a solution without considering its financial implications for the states and the wider economy.

Referring to the opposition’s position on subsidy removal, he said:

“And the big idea they are bringing to this election today. What to do? Bring back subsidy.

“That is the big idea. And it’s not a policy. That is a memory.”

The President insisted that Nigerians should assess political promises against the records of those making them, particularly on policies affecting workers, pensioners and public finances.

He maintained that the Minimum Pension Guarantee Scheme represented a long-delayed commitment to retirees who had contributed to the economy throughout their working lives.

The decision to commence the scheme comes 22 years after its introduction into the country’s pension reform framework, with the administration presenting its implementation as an effort to address the financial difficulties faced by retired workers.

With the approved increase in the recommended minimum monthly pension to ₦52,500, the scheme is intended to provide a stronger income guarantee to eligible retirees under the Contributory Pension Scheme.

The President directed PenCom to commence implementation immediately, stressing that the payment of adequate pensions must be treated as a continuing responsibility of government rather than a discretionary benefit.

The announcement also coincided with PenCom’s disclosure that approximately ₦1.07 trillion in outstanding state pension liabilities had been settled, although more obligations remain to be addressed.

Tinubu maintained that the objective was to establish lasting financial protection for retirees and ensure that future administrations honour the commitments made to Nigerian workers.

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