Pensions increase

TIRANA, Nov. 1 – The government believes that the elderly population of Albania will have a reason to welcome the new budget draft. The minimal pensions will be no less than 10,000 leks, approximately $100, in the urban areas and at least 5,000 leks, approximately $50 in rural areas. Even thought the new budget will be implemented starting January 1, 2007 the government has planned to offer the increased pension to city dwellers from Dec. 1. The pensions for the rural community will be implemented with the new budget in January. One Albanian daily humored the good news as “Albanian Government is no longer on a diet.” A total of 315,000 beneficiaries are planned to benefit from this measure. The cost of this decision is estimated to reach $72 million. Prime Minister Berisha said that the majority of family pensions and the pensions for handicapped people have been too low so far. The cost of the increasing pensions will be covered by the government revenues which have recorded a significant improvement this year. This decision comes at a crucial time when the local elections are approaching. Commenting on this decision, Prime Minister Sali Berisha focused on contextualizing this on the wider scheme for alleviating poverty and improving the standards of living for the less privileged social classes. Berisha said that “the government cannot remain indifferent to the distribution of national wealth.”