Moldovan Government to Raise Pensions and Welfare Benefits

Prime Minister Natalia Gavrilita announced on Monday evening that pensions for the elderly and allowances for vulnerable citizens would rise after October 1 for about 427,000 people.

"According to the project we have prepared, all those with fully-paid contributions to the pension fund will receive a pension of at least 2,000 lei [nearly 100 euros] from October 1," Gavrilita told a press briefing.

She pointed out that 183,000 pensioners who made full pension contributions for the required 35 years while working have been receiving less than 2,000 lei per month.

Moldova is one of the poorest countries in Europe and the average pension at the beginning of this year was 2,104 lei.

But some pensioners have been receiving as little as 600 to 800 lei - less than 30-40 euros per month - mainly because they worked in low-paid jobs and therefore paid lower pension contributions.

"This increase, which is the largest in the country's history, will also positively affect those with incomplete contribution periods. And they will benefit from a significant rise in the pension, on average 398 lei [19 euros]," stated Gavrilita.

Raising pensions was one of the top priorities of the pro-European Action and Solidarity Party, PAS in its electoral campaign for July's parliamentary polls.

Gavrilita that the money for these increases would come exclusively from the state budget and not from external loans. The rises have been approved by the country's international development partners, she added.

She also said that the 3.86 per cent increases will be paid simultaneously on October 1 with the annual pension rises that are index-linked to inflation.

Moldova's Minister of Labour and Social Protection, Marcel Spatari, told...