The federal government has begun disbursing long-overdue wage award arrears to civil servants, in a move aimed at easing pressure on public sector workers grappling with inflation and rising living costs.

The Office of the Accountant General of the Federation (OAGF) confirmed in a statement Monday that payment of the N35,000 monthly wage award arrears has commenced, with several government employees already reporting receipt of funds.

The disbursements, which cover a five-month period, are being issued in instalments.

Read also: Payment of outstanding wage awards to federal workers begins – FG

This wage award was part of a temporary relief measure negotiated last year to cushion the impact of fuel subsidy removal and currency reforms under President Tinubu’s economic restructuring plan. However, implementation delays had sparked growing frustration among workers and unions.

The OAGF also moved to dispel confusion surrounding the status of the payments in the 2025 budget. Contrary to reports circulating online, Babatunde Ogunjimi, the Accountant General of the Federation AGF, never stated that the wage award was excluded from this year’s federal appropriation, the office said.

“The Accountant General did not brief the press on this matter,” the OAGF clarified. “The government remains committed to paying all outstanding arrears.”

Read also: FG’s 15-month arrears squeeze pensioners

The announcement comes at a critical time for Nigeria’s fiscal authorities, who are under pressure to manage growing public debt while addressing social discontent over wages and inflation.

Labour unions had recently threatened industrial action over the delays in payment.

Onyinye Nwachukwu is the Abuja Bureau Chief of BusinessDay, overseeing coverage across Abuja and Northern Nigeria. With more than two decades of experience in economic and financial journalism, she reports on business, policy, and market trends, linking local developments to the global economy. A fellow of the International Monetary Fund (IMF) and recipient of the P. Vishwanathan Memorial Award for Excellence in Financial Journalism, she is known for her insightful storytelling and interviews with senior policymakers, diplomats, and business leaders. Well traveled and globally minded, Onyinye brings depth and international perspective to her reporting.

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