By Our Correspondent
Kano, Nigeria – 23, 2025
The Kano State Pension Fund Trustees has cleared over N21 billion out of the N48.6 billion in pension liabilities inherited from previous administrations, signaling progress in the state’s ongoing pension reform efforts.
Speaking to journalists in Kano, the Executive Chairman of the board, Alhaji Habu Fagge, described the situation his team met on ground as “deeply troubling,” with pensioners suffering under irregular and unexplained deductions.
“Some pensioners receiving as little as N6,000 had N3,000 arbitrarily deducted without any justification,” Fagge revealed. “There was no clear formula behind the deductions, and records were missing.”
He also disclosed that the previous administration had borrowed funds from the pension account, further deepening the financial crisis. However, under the leadership of Governor Abba Yusuf, the state approved deductions at source for pension remittances, restoring regular monthly payments.
“We inherited N48.6 billion in liabilities and an additional N75 billion owed by local governments and some MDAs. Despite these challenges, we’ve settled N16 billion so far, with another N5 billion set for disbursement soon,” he said.
Fagge praised the governor’s commitment to the welfare of pensioners, noting that the administration took ownership of the inherited debt and prioritized payments.
In a related development, the board also recovered 324 housing units in Bandirawo, Kwankwasiyya, and Amana estates after legal disputes involving property investments made by the previous government. These properties, which were in poor condition, were repurchased by the board for N4.5 billion after state approval.
On the board’s current financial standing, Fagge said it has saved over N4 billion. Of this, a proposal has been submitted to invest N3 billion in property and allocate N1.5 billion for direct pensioner support.
The chairman raised concerns over the rising number of retirees in the state, revealing that over 4,100 new pensioners were enrolled in December alone. Weekly retiree interviews now number between 200 and 300, putting increasing pressure on the system.
“Our biggest challenge now is the surge in gratuity and pension obligations due to increased retirement benefits,” Fagge said. “But with continued reforms and government support, we are on a sustainable path.”
Describing the pension board as the “hospital of last resort,” he recounted heartbreaking stories of pensioners in desperate need of funds for healthcare, rent, and basic necessities.
“Our concern is the people’s concern. We are working to ensure no pensioner is left behind. By God’s grace, we are seeing light at the end of the tunnel,” he concluded.
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