Pension Hikes In Romania Not Election-Driven – Fin Min

"I urge those who say the government is just looking to raise votes to state what we should do with the pension money. We don’t take money from anywhere else to inject it into pensions,” Vosganian said.

He added it is “immoral” to use pensioners as weapons in political battles.

The Romanian government last year increased by 30% the value of the pensions point, starting Nov 1, 2007, and raised it again, to RON581, starting Jan 1, 2008. The next pension point increase is scheduled for Jan 1, 2009.

However, labor minister Paul Pacuraru said last week the next planned increase could be moved up to Nov or Dec 2008, if the social security budget surplus, currently at some EUR83 million, is maintained.

He said the pension point could increase in Nov or Dec top RON740-760, depending on the 2009 average gross salary per economy.

Pacuraru added that, at the end of the first half of the year, it would be known for certain whether pensions can be increased before the set date.

Also last week, Vosganian said pension hikes could be moved up, depending on budget resources.

Several politicians and analysts have stated that moving up 2009 pension increases is a vote-hungry measure of the government before parliament elections scheduled this fall.