Announcement

Collapse
No announcement yet.

Newspaper: New Scandal Brewing Around Funded Pension In Armenia

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Newspaper: New Scandal Brewing Around Funded Pension In Armenia

    NEWSPAPER: NEW SCANDAL BREWING AROUND FUNDED PENSION IN ARMENIA

    by Alexandr Avanesov

    Friday, October 31, 12:48

    A new scandal is brewing around the funded pension system that was
    introduced in Armenia not so long ago, a local "Zhamanak" ("Time")
    newspaper writes.

    According to the source, the Government has not yet transferred the
    pension payments charged from the monthly salaries of the citizens to
    their pension accounts. "According to the Law on the Funded Pension
    that was amended following a relevant decision of the Constitutional
    Court, the pension payments that are charged from the salaries on a
    monthly basis must be transferred to the state budget and then to the
    pension accounts of the citizens. Since April the amounts that have
    been charged from the citizens and transferred to the budget have
    not be transferred to the pensions funds or the pension accounts of
    the citizens yet," the paper writes.

    To recall, the mandatory funded pension system was introduced in
    Armenia from July 1 2014 for the employees of the government sector.

    For the private sector, the system will be gradually introduced
    on a voluntary basis within three years. This provision meets
    the requirements of the Constitutional Court. Pension payments are
    undergoing changes and a social-purpose monthly payment in the amount
    of 5% of the salary is suggested. This will apply top the employees
    whose salary does not exceed 500,000 drams. For the employees with
    higher salary, the payment will make up 25,000 drams.

    The mandatory funded pension system applies to the citizens born
    after Jan 1 1974 (the citizens below 40). 5% of their salaries will be
    transferred to their personal accumulative accounts. The government
    will transfer a similar amount (but no more than 25,000 drams). In
    November 2013 the Armenian Central Bank (CB) registered the heads
    of the pension funds C- QUADRAT Ampega Asset Management Armenia and
    Amundi-ACBA- Asset-Management on 11 December.

    http://www.arminfo.am/index.cfm?objectid=21A658B0-60E3-11E4-B9FF0EB7C0D21663

Working...
X