Members of Parliament approved a 10 per cent increase in pensions counted as of July 1 2007.

On June 21, MPs approved on second reading changes to the law for budget and social securities in 2007.

The accepted amendments increase minimal pensions from 85 to 93.5 leva per month. After the increase, the average pension becomes 168 leva.

The maximum amount pensioners in Bulgaria will receive per month is 490 leva.

Initially, Cabinet planned an 8.5 per cent pension increase. Budget savings enabled a bigger hike.

Funds needed for the additional pension increase in 2007 total 33.2 million leva, Focus news agency reported.