Spectator on facebook

Spectator on facebook

Pension savings funds object to PM’s remarks

PRIME Minister Robert Fico’s statement last week that if private pension savings funds were not prevented from investing deposits in “risky ventures”, the country would face “further pyramid schemes”, has drawn strong protests from the pension funds.

The Association of Pension Savings Administrators called Fico’s words “misleading and untrue”, and warned that they could create uncertainty among the 1.5 million people who are saving for their pensions in private accounts as part of the previous government’s reform of the pension system.

The association said that pension funds in Slovakia are under five levels of independent supervision, including by the central bank and independent auditors, which rules out the possibility of irresponsible or reckless investment of pension savings.

Deposits are also guaranteed by the Socialná Poisťovňa state insurance company.

Before last June’s general elections, Fico promised to cancel the second, or ‘capitalization’ pillar of pension savings introduced by the 2002-2006 Dzurinda government, but after forming the government apparently dropped the plan due to the popularity of the pension reform and the practical difficulties involved in scrapping a savings system with 1.5 million depositors.

Political scientist Grigorij Mesežnikov said he believed that Fico was now trying “to create the impression that the previous government did not have the interests of citizens in mind, but was just trying to give business groups a chance to make a profit.

“If he can’t cancel the system, he can still at least criticize it,” the analyst said.

Top stories

Night life in Bratislava will not end

Councillors for the Old Town adopt new opening hours for pubs, night clubs and restaurants.

Cvernovka's creative talents celebrate first open day at new premises Photo

Bratislava's art and design ateliers from the old yarn-making factory open their doors on May Day.

New premises for Cvernovka

How social networks can earn you a ticket to Germany

Can a status on a social network change someone’s life? Yes, if you write humorous stories about a fictive German ambassador.

Assaf Alassaf (r) talked about his life and his book in Bratislava

New investor to create 500 jobs in Nitra

A company following the Jaguar Land Rover carmaker to Nitra plans to create 500 new jobs and invest €17 million.

Tha Jaguar Land Rover draws also other investors to Nitra.