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Cabinet offers pensioners five per cent rise

The government yesterday decided that pensions will be increased this year by five per cent as of July. Parliament must now approve the change before it takes effect. However, Miroslav Knitl, head of the Sociálna poisťovňa (SP) social security house, says SP’s resources permit a maximum three per cent rise.

While Slovakia has been warned by international financial institutions against loosening fiscal policy in an election year, and widening the fiscal deficit from its 3.5 per cent of GDP target to as much as 5.5 per cent, it is feared that parliament may further increase the proposed pension rise.

Compiled by Tom Nicholson from press reports.
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.

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