Government approves Pension Fund Budget for 2008

Government approved a balanced budget of the Pension Fund for 2008 which provides pension differentiation according to seniority and average monthly wage. Prime Minister Yulia Tymoshenko told at a press conference summing up the Government sitting. “In other words, during the year we quarterly abolish equality in pensions,” the Head of Government added, Cabinet press office reported.

The Head of Government told that this budget provides for essential pensions raise beginning October 2008. “From October 1, 2008 we’ll see one more pension raise connected with change of the evaluation coefficient for every year of seniority,” Yulia Tymoshenko said.

The PM noted that wages raise would take into account the inflation processes. “The wages raise we saw from the very beginning of this year is not last. Quarterly we recalculate pensions depending on the inflation processes and then, from October 1, there will be significant raise,” Yulia Tymoshenko said.