Efforts by the National Pension Commission (PenCom) to ensure all retirees in the country are paid pension as and when due seems to have come to fruition again as the House of Representatives has approved N1.27 trillion for payment of pension, gratuity, and retiree benefits.
The House of Representatives had approved the 2024-2026 Medium Term Expenditure Framework and Fiscal Strategy Paper (MTEF/FSP) on Tuesday, which includes a borrowing plan of N7.8 trillion for 2024.
The House of Representatives set benchmark oil prices of $73.96, $73.76, and $69.90 per barrel for 2024, 2025, and 2026 respectively.
The lower chamber also set daily crude oil production levels of 1.78 Mbps, 1.80 Mbps, and 1.81 Mbps.
The executive’s proposed exchange rate for the period 2024–2026 was N700, N665.61, and N669.79 to USD$1, and these rates were likewise agreed by the lower house. Inflation rates of 21.40 per cent in 2024, 20.30 per cent in 2025, and 18.60 per cent in 2026 were proposed by the lower chamber, which also suggested GDP growth rates of 3.76 per cent, 4.22 per cent, and 4.78 per cent, respectively.
The MTEF/FSP document’s parameters for 2024 were maintained with FGN recommending spending of N26 trillion, with N16.9 trillion in retained revenue; N9 trillion budget deficit; N7.8 trillion in new borrowings; N1.3 trillion for statutory transfers; N8.2 trillion debt service cost; N243.6 billion in the sinking fund; and N1.27 trillion in pension, gratuity, and retiree benefits.
