The Supervisory Board of Bulgaria's National Social Security Institute will introduce a 2.7% increase to pensions granted by December 31, 2013 as of July 1, 2014.

The new pensions are calculated taking into account the inflation rate and the insurable earnings growth. This means that the minimum pension for length of service and age becomes BGN 154.50 and the maximum – BGN 840. The social pension will amount to BGN 113, Darik news reports.

The National Social Security Institute reminds that pensions payments will begin on July 7.

The increase will cost the budget BGN 120M and concerns some 2 million people in Bulgaria.