The government may implement an additional pension increase due to the virus situation, the deputy finance minister told the Hungarian Nation. András Tállai said: instead of the planned three percent, inflation could be 3.6 percent, so an additional pension increase of 0.6 percent could come as a result of the amendment of the budget law. With this, the 2.5 million pensioners can get a total of HUF 26 billion. Depending on the development of inflation, there may be another addition in November.
At the beginning of the year, pensions rose by three percent, because last year it was expected that inflation would be this high this year. But the monetary deterioration can be slightly higher, 3.6 percent. If the government were to stick to its current practice, it would pay the pensioners a lump sum in November.
The epidemic has created a new situation, and the government is trying to help pensioners with all possible means. Therefore, the budget amendment proposal already indicates during the year that the rate of the pension increase from the beginning of the year can be increased to 3.6 percent. This would ultimately mean a mid-year pension increase. According to the proposal, those concerned would receive the 0.6 percent additional increase for the first months in a lump sum at the beginning of the summer, and then the monthly allowance would be that much more.
The additional pension increase means approximately HUF ten thousand per year on average. In total, the 2.5 million Hungarian pensioners will receive HUF 26 billion.
The addition brought forward would also serve the purpose of making it as easy as possible for pensioners to overcome the epidemic period from a financial point of view.
The Magyar Nemzet article can be read here.
(Cover image: PestiSrácok.hu)
