The Prime Minister and Chairman of the Center Party Jüri Ratas told ERR on Tuesday he wants pensions to increase in 2021 and that despite the difficult economic situation the rise should at least cover inflation.
"My wish and goal is to move forward with the pension increase also in 2021, although the situation with COVID-19 has made the financial situation of the country much more complicated," Ratas said.
He said inflation is forecast to be 1.4 percent next year and this will affect people on low incomes the hardest. "There is room for discussion to anticipate at least an improvement in the inflation position," Ratas added.
He said improving the well-being of the elderly and social issues, in general, have always been important to the party. This year the average pension increased by €45, which Ratas said was the largest in 10 years.
At the same time, the Prime Minister added that the state budget talks only started last week and the possibilities of increasing pensions will become clear during the negotiations.
Editor: Helen Wright