Government Releases K450 Million to Clear UNZA, CBU Pension and Gratuity Arrears

Government has released K450 million to settle outstanding pension and gratuity arrears at the University of Zambia (UNZA) and the Copperbelt University (CBU), as part of broader efforts to restore financial stability in the country's two largest public universities.

Speaking during a press briefing in Lusaka on Wednesday, Ministry of Education Permanent Secretary for Administration, Noriana Muneku, said the intervention demonstrates government's commitment to addressing longstanding financial challenges affecting the institutions.

Ms. Muneku said UNZA and CBU have, over many years, accumulated significant financial obligations, including unpaid pensions and gratuities, statutory liabilities, ageing infrastructure and operational constraints that have affected both staff and students.

She explained that government has been implementing progressive reforms aimed at restoring financial stability while laying the foundation for long-term institutional sustainability.

Ms. Muneku revealed that between 2022 and 2025, government released K556 million to the University of Zambia to facilitate the payment of outstanding terminal benefits, clearing gratuity obligations dating from 2011 to 2016 and pension arrears accumulated between 2011 and 2020.

She said the newly released K450 million will be allocated as follows; K88 million to settle all outstanding pension and gratuity obligations for retirees at the Copperbelt University; K225 million to clear pension obligations for retirees at the University of Zambia covering the period 2021 to 2023 and K137 million to settle gratuity obligations at the University of Zambia covering the period 2016 to 2020.

Ms. Muneku said the payments represent an important step in honouring government’s obligations to former university employees who dedicated many years of service to Zambia's higher education sector.

She added that the 2026 National Budget had increased operational funding for public universities, with UNZA receiving an additional K90 million and CBU K50 million, while a further K78 million had been committed to rehabilitate UNZA's sewer and sanitation infrastructure.

She said government's long-term objective is to transform both institutions into financially sustainable universities capable of meeting their obligations without accumulating unsustainable liabilities. Ms. Muneku stressed that modern universities require safe, clean and conducive learning environments.

Ms. Muneku also called on University Councils, Vice-Chancellors and management teams to uphold the highest standards of accountability, transparency and prudent financial management in the utilisation of public resources.