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The government's decision is approved, pensions will increase by 8.6% from October 1, here are the categories that benefit, the elderly will also receive the year-end bonus in December
Written by Sidorela BRAÇJA 29 Shtator 2023
The Council of Ministers at yesterday's meeting approved the indexation of all categories of pensions to the extent of 8.6%. According to the government's decision, it is learned that all categories of pensions will be paid with an increase of 8.6% and the beneficiaries will be over 767 thousand citizens throughout the country. The implementation of this decision starts on October 1 and only for the period October - December 2023, the financial effect on the state budget is calculated at about 3.1 billion ALL, while for 2024 it will be 12.1 billion ALL. Among other things, in the framework of this decision, it is expected that this increase will be made in the framework of covering the change in prices for the period August 2022 - August 2023, measured by INSTAT in a dedicated way for the category of pensioners (Consumer Price Index for pensioners is different from the population index, as it takes into account changes in the prices of goods and services that pensioners consume). The government has continuously, as a protective measure to cope with successive shocks, undertaken policies aimed at strengthening social protection, so the expenses from the state budget have been increasing. Meanwhile, during the past year, two indexations were carried out, in total to the extent of 9.5%, with a financial effect of ALL 5.4 billion. Year after year these expenses increase further, due to the residual effect for the following year, as this is an acquired and guaranteed right for every citizen who is treated by the scheme, as well as for those who will be included in it in the future . In addition to these increases, the government has also given bonuses, like the one at the end of the year that is already included in the Budget Law of each year and which will be granted this year as well. Meanwhile, the Institute of Social Insurance will guarantee through the cooperation with the Albanian Post sh.a. and commercial banks the full implementation of this decision for all beneficiary individuals. The decision foresees the indexation of 8.6% of all categories of pensions, (old age pensions, full pensions, partial pensions, reduced pensions, disability pensions, pensions in the city, in the countryside, pensions given for special state aid , etc.).
The indexation of pensions by 8.6%, says the deputy. the Minister of Economy
Meanwhile, the Deputy Minister of Finance and Economy, Olta Manjani, said yesterday that 797,000 citizens will benefit from the indexation of pensions at the rate of 8.6%. In a television interview, Manjani said that this indexation increases the pension base for the coming years. Among other things, Manjai added that at the end of the year, pensioners will receive a bonus worth 5,000 ALL. "This decision foresees the 8.6% index of all categories of pensioners and is based on the consumer price index, measured by INSTAT. Pensioners have a certain basket, food, medicine, this is done referring to the consumption of pensioners. This inflation is higher than for the population. Inflation indexation has a carryover effect, during 2023 we supported pensioners with other packages, indexation is a more dedicated measure as it ensures an increase in pension, increases the pension base. The increase of pensions with the indexation of consumer prices in 2024 will be done on a higher basis. 767 thousand citizens will benefit. The end-of-year bonus is also provided for in the organic law of the budget, it will be given in December, it will be 5,000 lek", said Manjani.