In 2012, average old-age pension rose to €313. However, rising prices eating away at its purchasing power, real pension decreased 1.3 per cent.
Pensions’ purchasing power in decline, last year
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April 2012 brought a rise of the pension index – which had stayed the same for two years – resulting in 2012 average old-age pension nearly €8 higher than that of 2011, writes Statistical Office head statistician Marve Randlepp, in statistics blog.
«But when it comes to change in old-age pension purchasing power that year, there is less to rejoice about: 3.9 per cent rise of consumer price index exceeded the increase of pensions. And as average nominal old-age pension increased 2.6, real pension – considering inflation – decreased 1.3 percent,» explained Ms Randlepp.
She also pointed out, however, that in five years real old-age pension increase has amounted to 12 per cent.