The Abia State Government has approved the commencement of payment of ₦61.8 billion in outstanding gratuities owed to verified state and local government retirees, with the entire backlog expected to be cleared by 2031.

The approval was announced after a State Executive Council meeting, with the Commissioner for Information, Prince Okey Kanu, explaining that the outstanding gratuity liabilities cover retirees from 2001 to 2025.

According to the government, a verification exercise established that ₦7.2 billion was owed for the period between 2001 and 2010, ₦43.6 billion accumulated between 2011 and May 2023, while ₦10.9 billion accrued from May 30, 2023, to date.

Kanu said the government would incorporate gratuity payments into the state’s Medium-Term Expenditure Framework and annual budgets from 2026 to 2031 to ensure a structured and sustainable settlement of the debt.

The payment process will be carried out in phases, with the oldest arrears and verified beneficiaries given priority. Payments will also be made directly through a dedicated platform linked to the state’s Treasury Single Account, with biometric verification to prevent duplication and fraud.

The government said the initiative is aimed at bringing relief to retirees who have waited for years for their entitlements while ensuring that fresh gratuity arrears do not continue to accumulate. Some verified beneficiaries have already started receiving payments.