Inflation Could Reach 11% - Major Impact on Pensioners and Care Costs

The National Bank of Romania (BNR) is forecasting an alarming rise in inflation to 11% in the coming period, as a result of geopolitical tensions in the Middle East and the blockade of the Strait of Hormuz. This situation will have a devastating impact on the purchasing power of pensioners and the cost of care services for seniors.

BNR Governor Mugur Isărescu explained that the major shock to international oil and gas markets is generating cascading effects across multiple economic sectors. The phenomenon, already known across Europe as "Hormuz inflation", will profoundly affect the budgets of families supporting elderly relatives.

For seniors on fixed pensions, this sharp rise in inflation means a severe decline in purchasing power. The costs of medicines, basic foodstuffs and medical services will increase significantly, placing many pensioners who already face insufficient incomes under serious financial strain.

Care homes and residential care centres will be forced to adjust their fees in order to cope with rising operational costs. Energy, food and medical supplies — all essential components of senior care — will become considerably more expensive.

Home care services and medical transport will likewise be affected by rising fuel prices. Families that rely on private ambulance services or specialist transport for elderly relatives will face higher costs.

Isărescu noted that inflation is expected to gradually return towards more moderate levels by the end of the year, though the recovery will be slow. For seniors, this prolonged period of high inflation represents a major challenge in managing day-to-day expenses and medical needs.