The pension hike will claim €445 million of the state budget

The rise in pensions in the last three months of 2008 will be supported from the current social security budget surplus, and a further RON 530 million (€144 million) subsidy from the state budget, according to the new Labor Minister, Mariana Campeanu, for Business Standard.

Pension points, the units used to calculate pensions, are to increase by 20 percent as of October 1. The hike was initially scheduled for next year, but both government and opposition voiced strong support to apply the measure sooner, given the general elections scheduled for November 30.

Campeanu said a total RON 1.6 billion (€445 million) will be needed to support pension hikes in 2008.

Business Standard