The Executive Secretary of the Kano State Pension Board, Habu Muhammad Fagge, has stated that the State Pension Fund Trustees have cleared over N21 billion in pension liabilities inherited from previous administrations, out of a total debt of N48.6 billion.
Speaking during an interview with the press in his office in Kano, Alhaji Fagge described the state of the board at the time of the current administration’s takeover as “deeply troubling.”
According to him, “Pensioners suffered irregular and arbitrary deductions under the previous government, sometimes losing half of their meagre monthly entitlements.”
“We inherited N48.6 billion in liabilities and also had to remit N75 billion that had been levied on local governments and some MDAs.”
He noted that the board has made significant progress in settling pension debts, with another N5 billion scheduled for disbursement soon.
Fagge reiterated that the state of the board under the previous administration was “deeply troubling,” with pensioners enduring irregular and arbitrary deductions. He revealed that the previous administration borrowed extensively from the pension fund, leading to significant financial distress.
“The current administration has made efforts to recover from the previous administration’s mismanagement. Governor Abba Kabir Yusuf approved deductions from the source for pension remittances, restoring regular payments and enabling the board to reach 100% monthly pension disbursement.”
Alhaji Fagge also stated that the board has been involved in housing projects, including the repurchase of 324 housing units at a negotiated rate of N4.5 billion. However, he disclosed that the properties were in poor condition and had been vandalised.
Fagge raised concerns over the rising number of retirees, with over 4,100 new pensioners enrolled in December alone. He warned that the pressure is mounting but expressed optimism that recent increases in public sector salaries and upcoming mass employment plans by the state government would boost pension contributions.
Despite the challenges, Fagge expressed confidence that the board is on a sustainable path, citing continued reforms and support from the government. He emphasised the board’s commitment to ensuring no pensioner is left behind, describing the pension board office as a “hospital of last resort” for desperate pensioners seeking funds for hospital bills, rent, and basic sustenance.
Fagge added that the board currently has over N4 billion in savings, with a proposal to use N3 billion to acquire more properties and N1.5 billion to support pensioner welfare.
He concluded that the board is working to ensure the welfare of pensioners and is seeing light at the end of the tunnel. He praised the governor for showing empathy, noting that “even though the debt was inherited, His Excellency took responsibility and ensured payments were made, purely out of concern for the pensioners.”
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