13 03/2017

Moldovan PM demands maximum of responsibility in implementing pension system reform

Prime Minister Pavel Filip today summoned to a meeting the heads of the structures in charge of implementation of the pension system reform. The PM demanded maximum of responsibility to fulfill, in the terms set, the provisions of the reform, so that, starting from 1 April 2017, the pension is recalculated and indexed, the government’s communication and protocol department has reported.   

Decision-makers of the Social Protection and Family Ministry and the National Social Insurances House (CNAS) informed about actions carried out and the next steps in the implementation of the pension system reform.  

At this stage, the privileges of establishing special pensions for some categories of citizens: MPs, cabinet members, civil servants, local authorities, were cancelled and the transfer of powers of setting the pensions from six law-enforcement institutions to a single institution – CNAS, was ensured. Also, decision-takers worked to prepare the normative basis and the information system for the implementation of the next phase of the reform. 

Thus, beginning with 1 April 2017, the pensions will be established according to the new calculation formula. Concomitantly, the pensions set in 2001-2008 will be recalculated. Over 80,000 persons will benefit from the valuing of the pension. 

At the same time, starting from the same date, the pension will be indexed by 6.8 per cent and the minimal pension will increase from 961 to 1,026 lei. The minimal pension will grow most of all for the people who worked in the farming sector – by 21 per cent.  

The prime minister asked to urgently prepare government decisions on the recalculation (valuing) of the pension and its indexation, so that they are approved at the next cabinet meeting. Pavel Filip demanded that state institutions take all needed measures for the successful implementation of all stages of the pension system reform.  

There are over 690,000 pensioners in Moldova. In 2016, the average pension on Moldova stood at about 1,300 lei.