Pensions 2027: indexation scenario of 7%, despite experts calling for a minimum of 12%

A group of MPs has tabled a bill in Parliament calling for the application of the pensions law and the indexation of benefits in line with the inflation rate, starting next year. The measure would have a budgetary impact of at least 12 billion RON.

According to information currently available, one of the scenarios being considered for 2027 is an indexation of at least 7%. However, specialists consulted believe that, after two years in which pensions have been frozen, an increase of at least 12% would be needed for pensioners to recover some of the purchasing power they have lost.

What a 7% indexation would mean

A 7% increase would raise the value of the reference point from approximately 81 RON to 86.67 RON. In practical terms, depending on the number of pension points accrued, the calculation examples are as follows:

• a pensioner with 20 points, currently receiving 1,620 RON, would receive approximately 1,733 RON;
• a pensioner with 30 points, with a current pension of 2,430 RON, would receive approximately 2,600 RON;
• a pensioner with 40 points, currently receiving 3,240 RON, would receive approximately 3,467 RON.

This calculation is indicative, assumes a uniform increase of 7%, and does not take into account any potential legislative changes, taxes, or individual pension file specifics.

Why experts are calling for a larger increase

The 7% option is not considered sufficient by specialists, who argue that an indexation of at least 12% is necessary to compensate for the loss of purchasing power accumulated during the pension freeze period. The difference between the two scenarios is significant: 7% would bring a modest monthly increase, whilst 12% would mean a considerably larger rise for each category of pensioner.

Budgetary impact and next steps

Applying the indexation provided for by law would require a budgetary effort estimated at at least 12 billion RON, which is why the final percentage increase will weigh heavily in the construction of the 2027 budget. The MPs backing the bill are calling for the legal indexation mechanism to be applied, given that pensioners have not received an annual increase for two years.

The final decision on the indexation percentage will depend on the form in which the bill is adopted, the economic situation, and the budgetary resources available.