For 21 years, NSITF retirees survived on pensions that never changed despite rising living costs.
However, this week, the National Pension Commission finally broke that silence.
PenCom approved a 1,173% pension increase for NSITF retirees after freezing benefits since 2005.
End Of NSITF Retirees 21-Year Freeze
On Wednesday, PenCom’s Director-General, Ms Omolola Oloworaran, announced the decision.
As a result, the approval now affects 2,116 retirees and improves their finances after years of neglect.
Consequently, total monthly pension payments will rise from ₦12.56 million to ₦159.95 million.
At the individual level, some retirees will see monthly income jump from about ₦18,000 to roughly ₦206,000.
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Arrears And Legal Enforcement
In addition, PenCom approved ₦8.70 billion in arrears to cover years of pension underpayment.
On average, each beneficiary will receive about ₦3 million, while some will collect over ₦8 million.
According to PenCom, this marks the first pension increase for NSITF retirees in nearly two decades.
The Commission described the move as a direct correction of long-standing regulatory failures.
Oloworaran said PenCom enforced compliance using Section 53 of the Pension Reform Act 2014.
Under the law, authorities must review pensions every five years or adjust them with federal salaries.
Similarly, NSITF policy sets minimum pensions at 80% of the national minimum wage.
Yet, authorities left pension payments unchanged for more than 20 years.
Fund Growth And Reforms
As a result, the freeze widened inequality and pushed many retirees into poverty.
Therefore, PenCom said regulatory intervention became unavoidable after prolonged non-compliance.
Meanwhile, strong growth in the NSITF fund supported the scale of the increase.
Specifically, the fund grew from ₦54 billion in 2005 to ₦195 billion by December 2025.
PenCom said prudent management allowed higher payments without financial strain.
Accordingly, the Commission stressed that the adjustment will not threaten long-term sustainability.
Beyond payments, PenCom also ordered key administrative reforms.
First, Trustfund Pensions Limited must submit a fully compliant pension enhancement proposal.
Next, PenCom approved the VerifyMe digital platform for pensioner verification.
The platform replaces physical verification exercises that often burdened elderly retirees.
Already, verified beneficiaries have begun receiving payments under the new structure.
PenCom said the digital system now improves efficiency and reduces errors.
Overall, the reforms aim to modernise pension administration and protect retirees’ rights.
Ultimately, the decision restores dignity and financial security to long-neglected retirees.
