The Pension fund has held a competitive selection among banks for the right to pay off pensions and financial aid, and gave information about banks which will pay pensions in 2013.
Many economic experts came to conclusion that pension reform was not effective, and in a couple of months retiree might not become their pension in time, owing to the lack of money in the Pension fund.
Director of Institute of Society Transformation Oleh Soskin evaluated today‘s situation. In his opinion, 40% of all pension payments today come from the state budget. Only for pensions, the country spends 16%GDP, which is a very high rate. This figure will be only higher, as the demographic situation in the country is such that the number of pensioners is increasing every year.
No one knows how to improve this situation. Increasing of retirement age will only make the situation worse, as people in Ukraine won't live till pension. Reduction of pension payment is impossible, most pensioners hardly make ends meet. Experts have proposed options for reducing Pension fund deficit by legalization of wages and GDP growth, but firstly the country should reach European level, completely reorganizing economic model.
UARP special correspondent