Moldova, Romania pensions fall short of basic living costs
State pensions cover basic living costs in less than half of European countries. In the Republic of Moldova, retirees receive only 42% of the funds required for a decent life, according to a recent Moorepay analysis.
The study compared average pensions against the cost of living for single individuals across 39 states. While Luxembourg leads with pensions covering 225% of basic needs, Eastern Europe faces a systemic shortfall.
The East-West divide
Western and Northern European systems remain significantly more robust. In Italy and Finland, state support exceeds living costs by over 200%. Conversely, retirees in Albania, Ukraine, and Moldova cannot cover even half of their essential expenses.
Romania also sits below the threshold for a decent standard of living. Experts note that two-thirds of income for those over 65 in these regions comes from public funds. This leaves many dependent on family support or informal work.
Moldova to approve pension hike
The Moldovan Cabinet will meet on 25 March to address the shortfall. The government is expected to approve a 6.84% indexation effective from 1 April 2026.
The proposal includes an additional fixed increase of approximately €2.60 (51.33 MDL). Following these measures, the minimum old-age pension will rise to roughly €168 (3,264 MDL).
For those with a contribution period of at least 40 years, the minimum payment will reach €181 (3,525 MDL). Despite the adjustment, the total remains significantly below the regional average for purchasing power.
Translation by Iurie Tataru
