The Senate has passed the bill for the Establishment of a Police Pension Board (PPB), a move that will increased the federal government’s pension liabilities.

The bill excludes the Nigeria Police Force from the Contributory Pension Scheme and returns the force to the old Defined Benefit Scheme.

Under the contributory scheme, employees and employers contribute towards pension but the government takes full responsibility under the defined scheme.

According the industry stakeholders, this will cost the federal government an additional two trillion naira in pension liabilities for the 300,000 police personnel.