MPs to debate yearly pension hikes for retired military staff

TDT | Manama

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MPs are set to debate amendments to the 1976 Military Pensions Law that would introduce annual pension increases of 5% for retirees earning BD200– BD500, tapering to 1% for the highest pension bands, while revising contribution rates for members and the state.

The proposed changes, drawn from two revised MP submissions, will be discussed at Parliament’s next sitting. Under the draft, member contributions would rise from 6% to 7%, while the state’s share would drop slightly from 21% to 20%.

A new article introduces a sliding-scale yearly increase linked to pension levels — starting at 5% for the lowest bands and gradually falling to 1% for pensions above BD4,000. The accompanying memorandum says the plan is designed to support lower-income retirees while maintaining funding balance through the fixed contribution shares.

The Legislative and Legal Affairs Committee has referred the bill to the Financial and Economic Affairs Committee to assess its impact on the state budget, noting that the proposal aligns with the Constitution and existing legal framework.

A lively debate is expected in Parliament, as the measure would affect a large segment of retired military and security personnel.