Weak ruble causing concern for Russian pensioners in Estonia ({{commentsTotal}})

Source: (Postimees/Scanpix)

Around 3,250 people living in Estonia receive a pension from the Russian Federation with the sums calculated in rubles, and the recent drop in the currency could mean the Estonian government will stump up the difference.

The Estonian National Social Insurance Board pays out pensions to the 3,250 people each quarter from money transferred by the Russian government. Russian pensions are adjusted each year for inflation, but not for currency rate changes, such as the around 40 percent drop in the ruble in the last month, Postimees reported.

The pensioners received around 150 euros per month in the fourth quarter, but that figure is set to drop drastically, however. According to Estonian laws, the pensioners will still receive close to 150 euros per month as the national pension rate is 148.98 euros and by law, all pensioners in Estonia must receive at least that sum, meaning Estonia will have to pay the difference.

The similar issue in Latvia is far worse, with around 14,000 Russian pensioners receiving their pension in rubles. The Russian ambassador to Riga recently said that those people have a real reason for concern.

Editor: J.M. Laats



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