Baku, Azerbaijan, Jan. 24
Trend:
Azerbaijan’s Minister of Labor and Social Protection of Population Salim Muslumov said Jan. 24 that 122.5 million manats are needed for the indexation of insured part of labor pensions in Azerbaijan in 2017.
Muslumov noted that 10.21 million manats are needed for these measures every month.
The minister stated that 127 million manats of budget of the State Social Protection Fund, which operates under the ministry, are meant for the indexation of labor pensions’ insured part.
The indexation of labor pensions will be carried out in line with the inflation level of 2016, which stood at 12.4 percent.
The indexation will cover 94 percent of pensioners or 1.24 million people, noted Muslumov adding that the remaining 76,000 people receive individual pensions, i.e. these are the people who receive a premium in addition to their pension.
Insured part of those people’s pensions will also be indexed, but at the same time the volume of premiums paid to them will be reduced, explained the minister. Therefore, the volume of their pensions will remain unchanged, he added.
Muslumov said also that all pensioners will receive indexed pensions starting from February 2017, as well as the additional amount for indexation of pensions from January.
“In other words, in line with the indexation, 20.4 million manats will be paid to pensioners in February,” added Muslumov.
The official exchange rate is 1.8559 AZN/USD on Jan. 24.