The increase in pensions from July 1 could be by 10, and not by 11 percent, as laid down in the budget of the State Social Insurance for this year, warned the BNR.
The reason is the officially reported lower inflation than the estimated estimates. The proposal is contained in a draft decision of the Supervisory Board of the National Insurance Institute. The council meeting is scheduled for May 14.
The updating of pensions granted until December 31 of the previous year is done according to the so-called Swiss rule with a percentage equal to the sum of 50 per 100 of the growth of inflation and 50 per 100 of the growth of the average insurance income.< /p>
In the Budget of the State Social Security for this year, it was calculated that according to data from the macroeconomic autumn forecast of the Ministry of Finance, according to this formula, the growth of pensions from July 1, 2024 should be 11%.
For this purpose, more than BGN 1.1 billion was foreseen in the Budget. The calculations were made on the assumption of an increase in the average insurance income for the last year of 12.9 per 100 and an average annual harmonized index of consumer prices of 9.1 per 100.
However, the National Social Security Institute points out that the reported parameters are already clear, which are lower than the estimated ones for both indicators and are, respectively, 11.3 and 8.6 per 100. Thus, according to the formula of the Swiss rule, pensions must will increase by 10%, which will cost BGN 100 million less than previously set.