Pensions' hike to cost Serbia 300 mil Euros, daily says

The daily said that about two-thirds of the amount would go back to pensioners whose incomes were cut down in 2014.

The remaining sum will be allocated to increase the pensions bellow 250 Euros. There are almost 1.2 million people with such pensions, and they can expect a five percent increase by the end of this year.

Their pensions will not be a part of the recently abolished Law on Pensions’ Reductions which the parliament passed in 2014 with the limitation period of three years.

The remaining over a half of million retirees can expect their pensions to raise from 5.5 to 24.8 percent, Politika said.

The annulment of the law came after the International Monetary Fund (IMF) told Belgrade’s authorities to respect the deadline they set for the regulation to last.

In the meantime, the pensioners in Serbia said they had considered a lawsuit against the Constitutional Court’s judges for not ruling on their initiative for the abolishment of a temporary law on pensions’ reduction.

Serbia’s authorities, however, contributed the decision to cancel the law exclusively to the country’s fiscal consolidation and a budget surplus.