FG Launches CBN Account for Retirees’ Exit Benefits

The Federal Government of Nigeria has opened a special account at the Central Bank of Nigeria (CBN) to manage the exit benefit scheme for retiring civil servants, as disclosed by Didi Walson Jack, the head of the civil service. This initiative aims to safeguard funds and ensure transparent payments to retirees.

The account will be managed by the National Pension Commission (PenCom) and will serve as the sole repository for funds earmarked for the scheme. The exit benefit scheme, effective from January 1, 2026, will provide eligible employees who have served a minimum of 10 years with an amount equivalent to 100% of their total annual emoluments upon retirement.

The scheme is designed to enhance the welfare of federal government employees and is complementary to the existing contributory pension scheme. The CBN account will receive allocations from the federal government's annual budget, ensuring that funds are properly tracked and disbursed to beneficiaries within 10 working days of approval.