Moldovan government changes formula of pensions' indexation

Chisinau, 07 March /MOLDPRES/ – The Government has approved a draft law amending the pension indexation formula today, the government's communication and protocol department has reported.

Thus, if the pensions were indexed according to the price increase for the previous year, following the new formula, they would have been indexed according to the average increase in prices for the recent 3 years. Respectively, the approval of this bill will allow indexing of pensions by 5.3 per cent commencing 01 April 2019, almost 2 times more than the old formula.

"By the old formula, the pension indexation was low at 3 per cent. That is why, after the discussions that have been kept with all the colleagues in the ministries in charge, it was decided to go about changing the formula. I want to disappoint the ones which have shown up till now that they are specialists of words, and here we are the people of deeds, we are accountable and we do real things. Those who have spoken so far will still speak. And those who have worked and have done beautiful things will work for the people," said Pavel Filip.

The PM has also referred to speculation that the Government is accused of not taking responsibility for all projects. "The assumption procedure is one that is used in exceptional cases. As far as indexation of pensions and MDL 600 for pensioners and for social allowance holders, these projects should enter into force on 01 April. That is why, we do not have time and do not manage until a parliamentary majority is formed that these draft laws are voted in Parliament," said Premier.