Pension system deficit of 31 billion RON. The 7% increase remains uncertain

The public pension system is going through a period of significant financial pressure, following two years during which pensions remained frozen. According to a National Bank of Romania report, the system requires approximately 31 billion RON annually to break even — a sum that would need to be covered by the state budget, as expenditure exceeds the system's own revenue.

At present, there are no indications that pension payments are set to be suspended. However, without public funding to cover this deficit, the system would be unable to sustain pension payments from its own resources.

A possible 7% increase, but no certainties

A 7% pension indexation remains on the table, though there is currently no guarantee that this increase will actually be implemented.

Based on initial calculations, a 7% rise on a pension of 3,000 RON would amount to an additional approximately 200 RON per month.

Any such increase would come against the backdrop of the general rise in the cost of living in recent years, which has particularly affected pensioners' spending on food and medicines. The authorities are also considering, for the period ahead, possible increases in utility bills. Furthermore, the question of health insurance contributions (CASS) payable on certain categories of pension remains open.

Pension house employees threaten strike action

Tensions have also been mounting within the system itself: pension house employees are dissatisfied and are threatening to launch a strike. Any work stoppage could cause delays in the processing of pension recalculation requests and in handling files submitted by beneficiaries.

The deficit of approximately 31 billion RON remains the system's primary challenge, while pensioners continue to await a clear decision regarding the potential indexation of pensions.