ADVERTISEMENT

Hungary to Boost Pensions More Than Planned in 2022, Orban Says

Hungary to Boost Pensions More Than Planned in 2022, Orban Says

Hungary will boost pensions more than planned next year, Prime Minister Viktor Orban told lawmakers on Monday.

State pensions will rise 5% instead of the previously planned 3% as higher-than-expected inflation is seen to last through 2022. It’s also a year when Orban hopes to clinch yet another re-election in general ballot slated to take place in the spring.

The central bank said last week it expects prices to rise between 4.7% and 5.1% next year, above the initial forecast of inflation staying below 4%. 

This hike is on top of the previously announced pension increases that amount to 1.2% of the country’s gross domestic product and are part of a large spending package

©2021 Bloomberg L.P.