The Finance Ministry has estimated savings from the replacement of one-time indexation of pensions in payment

Replacement doindeksatsii pensions in a lump sum to pensioners will allow this year to save “a little”, and the savings for the budget will be in future years due to the fact that the next indexation of pensions will be made with the current base, but not with high, announced on Friday by Deputy Finance Minister Alexey Lavrov.

In late August the government refused to doindeksatsii pensions and instead decided to pay all pensioners 5 thousand. at the same time in early 2017. By law, the government had to index pensions this year by 12.9% (inflation last year), but only limited to 4%. Therefore, if the government agreed to condicionat pension to last year’s inflation, they would have now to the pension index by 8.56%.

“If we are indexed, it would have created a database, and there would be a cumulative scale, which is measured, even after three years, 300-400 billion rubles,” — said Lavrov told reporters. He brought TASS calculations that in 2017 “doindeksatsii would cost 150 (RUB bn), 2018 250 2019 — 450, and then higher and higher”, specifies that this is an indicative figure.

In other words, if the government now condensible pensions 8.6% and thus increased the base for subsequent full indexation, the government would have to spend in 2017-2019 years (three-year budget) in addition to 850 billion rubles only due to the increase in the base.

One-time payment address 43 million seniors will require from the budget of 200 billion rubles, said earlier the Prime Minister Dmitry Medvedev. Money should be sought from the budget of 2016, said the representative of the Deputy Prime Minister Olga Golodets. From 2017 it is proposed to return to full indexation for inflation of the previous year. According to Medvedev, the standard indexation in February 2017 will need about 270 billion rubles Ministry of economic development and the Ministry of Finance predicts that inflation by the end of 2016 will be around 5.9 percent.