A basic condition for the continuation of negotiations between the Government and pension management companies is the commitment of these companies to add several guarantees for savers in the second pillar of the pension system, Finance Minister Ján Počiatek told journalists on September 11.
If the opposite is the case, negotiations won't continue and the capitalisation pillar will have to be made voluntary, he said. According to the current legal status, continued Počiatek, the companies don't guarantee any yield, not even a preservation of the principal invested.
The Finance Ministry, which negotiates with pension management companies on behalf of the Government, insists on strengthening the guarantees provided by the parent companies of Slovak pension management companies. Only if they accept this position is Smer-SD ready to continue in discussions on the proposals of pension management companies on how to adjust the second capitalisation pillar.
If this does not happen, the Finance Ministry and Smer-SD party will then push for a temporary opening of the second capitalisation pillar, as it's adjusted in the proposed amendment to the act on social insurance. The Slovak Parliament is to discuss the act for the first time as early as September 13. TASR
Compiled by Zuzana Vilikovská from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.
12. Sep 2007 at 7:00