RO Govt. hikes pensions by 15%, promises 40% rise next September
Romanian labor minister Marius Budăi confirmed that the public pensions for five million Romanians will increase on September 1, as the benchmark used to calculate individual pensions (the “pension point”) will go up to RON 1,265 (EUR 266), Ziarul Financiar reported.
As a percentage, the pensions will increase by 15%. All pensions are currently being recalculated, the pension coupons are printed, they are distributed to the Romanian Post, and the first money transfers have been made to the Romanian Post so that starting from Monday, September 2, the first payments will be made, minister Budai confirmed.
The next hike of the pension point will be operated in September next year, under the new Pension Law already promulgated. The pension point will increase by 40%, namely from RON 1,265 to RON 1,775.
This will increase the state’s expenses with pensions and will put additional pressure on the state pension fund. However, as this pension hike is scheduled to take place just before the parliamentary elections, it’s unlikely that politicians will try to stop it.