An annual additional allocation of 534 million manat was provided for this increase, which applies to 1,1 million pensioners.
The decree on the "Indexation of Labour Pensions" is part of the new social reform package implemented at the beginning of this year. It ensures further pension increases and strengthens the social protection of pensioners, continuing a series of successful measures aimed at enhancing social security throughout the year.
According to the decree, all pensions assigned until January 1, 2025, will be increased by 8,1% from January 1, 2024, in line with the annual increase in the average monthly wage, as reported by the State Statistical Committee.
The pension increases will be implemented automatically through the electronic system, without requiring pensioners to submit any documents or requests.
The adjustments for January pensions will be paid alongside the February pensions.
The increase applies to all pensioners (including military personnel, law enforcement officers, and others), affecting 1,1 million pensioners, with an additional 534 million manat allocated annually for these increases.
Furthermore, based on the decree, the pension capital recorded in the individual accounts of insured persons as of January 1, 2025, will be indexed by 2,2% in accordance with the annual level of the consumer price index for the previous year.
This ensures that not only the monthly wage-based social insurance contributions but also the pension capital in individual accounts of working people are increased through state-provided indexation at the beginning of each year.
It is important to note that as part of the new social reform package, which came into effect at the beginning of 2025, the minimum wage was raised by 16% from 345 manat to 400 manat, with increases in wages across several sectors, including the private sector.
Additionally, starting February 1, the minimum pension will rise by 14,3% from 280 manat to 320 manat. Social allowances and scholarships will also be increased in the coming months.
In total, an additional 1,4 billion manat was allocated for social payments in this year's social reform package, covering 3 million citizens.
