TIRANA, July 22 – The Albanian government announced on Wednesday it had approved a modest increase for some 600,000 pensioners in the country.
Speaking at a press conference, Social Welfare Minister Blendi Klosi announced government had approved a 1.4 percent increase for some 599,364 pensioners, and a 15.6 percent rise for some 6.600 antifascist war veterans.
“This decision was taken to directly protect all pensioners, 453,511 living in cities, 145,800 living in villages and 32,800 pensioners of premature supplementary pensions so that their monthly pension is guaranteed despite the fluctuation of inflation rates,” said minister Klosi.
The 1.4 percent increase is lower compared to last year’s inflation rate of 1.6 percent and the average inflation rate of 1.9 percent for the first half of this year.
The amount of monthly pensions in 2013 varied from 8,233 lek (€58) to 24,048 lek (€176).
Last year, the Socialist Party-led left coalition finalized a much rumored pension reform in a bid to reduce the huge gap in the system which secures 45 percent of funding from other government revenue, proposing an increase in the retirement age for women and the introduction of social pensions for people aged 70 and over who have not contributed to the system.
The new system envisages that starting January 2015, the retirement age for women, currently at 60, will gradually increase by two months per year to reach 63 years old by 2032. The increase in retirement age for men, currently at 65, will continue only after 2032, to reach 67. The retirement age for both men and women is expected to increase to 67 years old by 2056.
