From the MT:
"Living Standards Slide for Russia's Struggling Pensioners"
For Boris Lisitsyn, Russia's financial crisis means less meat, cheese and sausage — hardships the 86-year-old says won't kill him anytime soon. But for him and the millions of pensioners who make up about a third of Russia's population, rising prices are also spurring anger over declining living standards, threatening a pool of support President Vladimir Putin cannot afford to lose. Russia's pensioners were once seen as "people we just needed to support" one government official said. But with women able to retire at 55 and men at 60, and healthcare improving, many are becoming more forceful in their demands. It's a trend not lost on Putin, whose role as a protector of stability, social conservatism and generous state spending has won a strong following among the elderly. Their loyalty is now being tested by a financial crisis triggered by low oil prices and Western sanctions imposed on Russia over Ukraine. The Russian leader has dismissed any thought of cutting social spending, telling the government this month: "First of all, whatever we do and whatever plans we make, we must ensure the fulfillment of our social commitments." But even with those commitments met, and increases in benefits promised, life for millions is becoming difficult. "In the 1990s there was nothing in the shops but fridges were full," Lisitsyn said, referring to the collapse of the Soviet Union which shattered supply lines and the command economy, forcing many to rely on home-grown produce. "Now it's the other way round — there's everything in the shops but fridges are all but empty," said the former military officer and radio factory worker. Sitting at a small formica table in the kitchen of his two-room flat in a Moscow suburb, Lisitsyn said he struggles to keep up with price rises for food and medicine, saying sometimes he walks into a shop "only to walk out again." The average monthly pension stood at 10,029 rubles ($148 at today's exchange rate) in 2014, the Federal Statistics Service said. Pensioners say one of the biggest blows from the crisis is the rising price for medicine, most of which are imported. For Nina Frolova, 84, about a fifth of her 15,000-ruble pension goes on medicine. Other outgoings include 1,500 rubles a month on her subsidized Moscow flat, 150-200 on electricity and 350 rubles on the telephone bill. Officials have hinted at possible price caps and Putin has promised to index pensions to inflation, although senior ministers have cast doubt over whether this is affordable. Russia's State Pension Fund is projected to spend around 7.6 trillion rubles, equivalent to 10 percent of gross domestic product, this year. More than a third of the amount (2.8 trillion rubles) will be funded from budget transfers that swallow up 18 percent of the federal budget.
^ It's sad when those most in need (the elderly, disabled and children) are affected by things that could be fixed by their government. ^
http://www.themoscowtimes.com/business/article/living-standards-slide-for-russia-s-struggling-pensioners/515018.html
"Living Standards Slide for Russia's Struggling Pensioners"
For Boris Lisitsyn, Russia's financial crisis means less meat, cheese and sausage — hardships the 86-year-old says won't kill him anytime soon. But for him and the millions of pensioners who make up about a third of Russia's population, rising prices are also spurring anger over declining living standards, threatening a pool of support President Vladimir Putin cannot afford to lose. Russia's pensioners were once seen as "people we just needed to support" one government official said. But with women able to retire at 55 and men at 60, and healthcare improving, many are becoming more forceful in their demands. It's a trend not lost on Putin, whose role as a protector of stability, social conservatism and generous state spending has won a strong following among the elderly. Their loyalty is now being tested by a financial crisis triggered by low oil prices and Western sanctions imposed on Russia over Ukraine. The Russian leader has dismissed any thought of cutting social spending, telling the government this month: "First of all, whatever we do and whatever plans we make, we must ensure the fulfillment of our social commitments." But even with those commitments met, and increases in benefits promised, life for millions is becoming difficult. "In the 1990s there was nothing in the shops but fridges were full," Lisitsyn said, referring to the collapse of the Soviet Union which shattered supply lines and the command economy, forcing many to rely on home-grown produce. "Now it's the other way round — there's everything in the shops but fridges are all but empty," said the former military officer and radio factory worker. Sitting at a small formica table in the kitchen of his two-room flat in a Moscow suburb, Lisitsyn said he struggles to keep up with price rises for food and medicine, saying sometimes he walks into a shop "only to walk out again." The average monthly pension stood at 10,029 rubles ($148 at today's exchange rate) in 2014, the Federal Statistics Service said. Pensioners say one of the biggest blows from the crisis is the rising price for medicine, most of which are imported. For Nina Frolova, 84, about a fifth of her 15,000-ruble pension goes on medicine. Other outgoings include 1,500 rubles a month on her subsidized Moscow flat, 150-200 on electricity and 350 rubles on the telephone bill. Officials have hinted at possible price caps and Putin has promised to index pensions to inflation, although senior ministers have cast doubt over whether this is affordable. Russia's State Pension Fund is projected to spend around 7.6 trillion rubles, equivalent to 10 percent of gross domestic product, this year. More than a third of the amount (2.8 trillion rubles) will be funded from budget transfers that swallow up 18 percent of the federal budget.
^ It's sad when those most in need (the elderly, disabled and children) are affected by things that could be fixed by their government. ^
http://www.themoscowtimes.com/business/article/living-standards-slide-for-russia-s-struggling-pensioners/515018.html
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.