The Executive Secretary of the Kano State Pension Board, Habu Muhammad Fagge, has revealed significant strides made by the state government in addressing the massive pension and gratuity liabilities inherited from the past administration.
According to Fagge, the Governor Abba Kabir Yusuf-led government has cleared over N21 billion out of the N48.6 billion pension debt left behind by the administration of former Governor Dr. Umar Abdullahi Ganduje.
This progress was achieved within just two years of the current administration.
Describing the state of affairs when the new government assumed office, Fagge said it was “deeply troubling,” pointing to the hardship pensioners endured due to irregularities and unexplained deductions under the previous regime.
“At one point, pensioners receiving N6,000 had N3,000 deducted without explanation. We couldn’t find any clear formula for the deductions,” he stated during an interview.
Fagge also accused the Ganduje-led government of drawing heavily from the pension fund, leaving the system in financial disarray. However, reforms under Governor Yusuf have turned the tide.
He explained that a major breakthrough came when the governor approved a deduction-at-source policy for pension remittances.
This measure has restored consistency in payments and enabled the board to achieve full monthly disbursement of pensions.
“We inherited N48.6 billion in liabilities and also had to remit N75 billion that had been levied on local governments and some MDAs.
“Despite this, we’ve managed to settle N16 billion so far, with another N5 billion scheduled for disbursement soon,” Fagge disclosed.
He lauded the governor’s commitment to the welfare of retirees, highlighting his proactive approach despite the fact that the debt was not incurred by his administration.
“Even though the debt was inherited, His Excellency took responsibility and ensured payments were made, purely out of concern for the pensioners,” he said.