Censor.NET reports citing the press service of the Social Policy Ministry.
Minister of Social Policy Andrii Reva believes the pension reform should start with pensions. According to him, such pension reform is designed to reestablish justice as for pension coverage. This means that those who have been working all their lives making pension contributions cannot be in the same situation with those who worked less and made smaller contributions. Besides, the pension system desperately needs incentives for everyone to understand the need to fairly pay unified social tax and, therefore, expect to receive a decent pension in the future.
The Pension Fund shortfall will amount to 141.5 billion hryvnia (about $4.88 billion) in 2017.
"Yes, it is less than last year, when it was 145 billion hryvnia (about $5 billion), but it's more than the country's security and defense budget, which amounts to 129 billion hryvnia this year. On the one hand, such a huge Pension Fund shortfall makes it impossible to increase pensions. On the other hand, it imperils Ukraine's national security. Therefore, implementation of a fair pension reform is the current government's high-priority task. I want to stress in this context that we are implementing the reform not for the IMF, not for the external creditors - Ukraine needs it above all others," Reva said
According to the Social Policy Minister, this reform will benefit both the state and the people.