Pension indexation will commence in March. Pensions will increase by 20%. The indexation will affect 10.5 million pensioners announced Prime Minister Denys Shmyhal during a Government session on February 28.

"For the second time during the full-scale war, on the initiative of the President of Ukraine, we are adjusting pension payments. We have found the resource for this purpose. We meet our obligations. We are helping those who need it most. The resolution has been adopted and published," the Prime Minister emphasized.

Denys Shmyhal noted that payments would also be lifted for retirees of law enforcement agencies. Moreover, pensions will also increase for citizens who were granted them in 2020-2022.

"In times of war, the state's resources are limited. Financing national defense remains a top priority. Therefore, we decided that the maximum increase will be UAH 1,500. The minimum rise will amount to UAH 100, even if the estimated indexation is lower. This is a fair balance," the Prime Minister said.

At the same time, the Government continues the program of monthly additional payments initiated by the President of Ukraine. According to Denys Shmyhal, pensioners aged over 80 will benefit from an additional UAH 570 per month. For pensioners aged 75-80, the additional payment will be UAH 456, and for pensioners aged 70-75, the monthly supplement will be UAH 300.

Starting April 1, pensions for working pensioners will also be automatically recalculated. According to the Head of Government, in the summer, the indexation will affect retirees from among scientists, civil servants, and employees of local self-government bodies.

Denys Shmyhal emphasized that in parallel, the Government and MPs were working on a fundamental pension reform. It is about launching a system of mandatory pension savings. Ukrainians will have their personal pension savings accounts. Creating the architecture of the new pension system, he said, is one of the Government's key tasks for 2023.