Vincentians receiving pensions from the National Insurance Services (NIS) will see an increase in their payouts in January 2027, for the first time since 2014.
Prime Minister Godwin Friday made the announcement on Tuesday as he delivered the national address to mark the 47th anniversary of the independence of St. Vincent and the Grenadines, 11 months to the day since he was elected to office.
“I have good news for NIS pensioners! NIS pensions will be increased, beginning at the start of the new year!” Friday said as he delivered the speech at the Independence Parade at Arnos Vale, sometimes shielded by as many as three umbrellas amidst heavy rain.
Friday, who is also minister of finance, announced that NIS contributory pensions will be increased based on cumulative inflation since the last increases in 2014 and the year in which the pensioner’s pension started.
“This measure will benefit 7,375 NIS pensioners,” the prime minister said, adding that it will also help to offset the effect of inflation and preserve pensioners’ purchasing power.
“To put it another way: this will help with the rising cost of living pensioners face,” Friday said.
The prime minister also announced that minimum pensions will also go up by 25%, moving from EC$80 to EC$100 per week.
There will also be an increase in the non-contributory pension and Elderly Assistance Benefit from EC$37.50 to EC$50 per week, Friday announced.
“These measures will also help people to cope with the cost-of-living crisis. They will come into effect in the new year — on Jan. 4, 2027.”
Friday recognised “the hard work and responsive approach” of the new board of directors and senior management of the NIS, adding, “focusing on providing enhanced benefits to pensioners while maintaining the sound financial footing of the NIS”.