Inflation Figures Explained: What Pensioners Need to Know About Purchasing Power

Romanian pensioners face a confusing situation when trying to understand the real impact of inflation on their incomes. Each month, two different figures measuring price rises are published — one from the National Institute of Statistics and another from Eurostat — creating bewilderment among older adults trying to plan their monthly budgets.

Data from April 2026 illustrates this discrepancy perfectly. INS (Romania's National Institute of Statistics) reported inflation of 10.7%, calculated using the Consumer Price Index, while Eurostat indicated 9.5% through the Harmonised Index of Consumer Prices. This difference of more than one percentage point is far from negligible for seniors living on fixed incomes.

The explanation lies in the calculation methodology. INS uses a basket of goods tailored to Romanian specificities, including products and services frequently consumed by the local population. Eurostat applies a standardised methodology across all EU member states, enabling international comparability but disregarding national particularities.

For pensioners, these differences have concrete implications. The Romanian index more faithfully reflects the real cost of living for seniors, incorporating medicines, medical services, and staple foods from the traditional diet. The European methodology may underestimate or overestimate the actual impact on Romanian pensioners.

In a context where Romania remains the EU country with the highest inflation rate, older adults must be aware that the purchasing power of their pensions is being steadily eroded. Regardless of the precise figure, both indices confirm that the cost of living is rising faster than pension indexation, undermining the standard of living of seniors.