The Federal Government has commenced the disbursement of ₦18 billion in outstanding severance benefits to 2,700 former employees of the defunct Nigeria Airways, bringing relief to workers who have waited for more than two decades.

The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, made the announcement on Friday during a briefing at the Federal Ministry of Finance in Abuja.

Oyedele said the payment was in line with a directive by President Bola Tinubu to clear inherited liabilities and restore dignity to Nigerians affected by long-standing government obligations.

According to the minister, 2,100 beneficiaries in batches one to seven have already received their payments, while another 600 workers in batches eight and nine have been cleared and will receive theirs shortly.

The settlement covers staff who were disengaged when Nigeria Airways was liquidated in 2003, a development that left thousands of workers without compensation for years.

Speaking on the delay, Oyedele acknowledged that no amount of money could fully compensate the beneficiaries for over 20 years of waiting, but stressed that the government chose to act rather than allow the debt to linger.

He described the intervention as part of the Tinubu administration’s commitment to addressing historical debts and rebuilding public trust in government institutions.

The minister explained that the process leading to the payment involved extensive verification to ensure only genuine beneficiaries were captured.

He said the verification included biometric data capture, validation of personal details, and confirmation of banking information to prevent fraud and double claims.

Officials at the ministry said the exercise was conducted in collaboration with the Ministry of Aviation, the Bureau of Public Enterprises, and representatives of the Nigeria Airways pensioners.

Labor leaders who were present at the briefing welcomed the development, describing it as a long-overdue justice for families who have suffered hardship since the airline ceased operations.

The Federal Government said it would continue to engage stakeholders to ensure all outstanding issues relating to the defunct carrier are fully resolved, while urging other creditors to follow the verification process for any pending claims.