pension increase

Serbia’s Fiscal Council confirms 12% pension increase sustainable without threatening system stability

Nikola Altiparmakov, a member of Serbia’s Fiscal Council, stated that the unplanned higher pension increase in Serbia will require significant budgetary resources in 2026. To accommodate a 12.2% pension rise, the government will need to implement more modest public sector wage increases. However, he emphasized that such a large pension increase will not undermine the financial stability of the pension system. Altiparmakov explained that the stability of the system is maintained by the “extended Swiss formula” used in Serbia, which…