A twofold increase of the minimum wage from January 1 has already provided a weighty additional resource to fill the budget of the Pension Fund of Ukraine by more than 30% ahead of the plan, thereby enabling the country to cover the Pension Fund deficit. Prime Minister of Ukraine Volodymyr Groysman stated on air of the ICTV television channel on Monday.
“The deficit of the Pension Fund amounts to UAH 142 billion. These funds should be paid to the retirees, however the Pension Fund is not capable to provide such financing. The reforms we have launched since January 1, including the minimum wage [the twofold increase ed.] have already ensured filling the budget of the Pension Fund by over 30% ahead of the target. This means we’ve triggered the process of reduction of the Pension Fund deficit", underlined the Prime Minister.
He emphasized the Government would offer to the Ukrainian society the pension reform designed to ensure justice and improved retirement payments in 2017.
“The new system we offer will provide an opportunity for the Pension Fund’s shortfall amount zero, while everything we earn to be transferred to support Ukrainian pensioners. It is a vital measure for us to introduce this year whoever is blocking our actions – it’s their business. We are committed to prolong our work and solve problems which have accumulated over decades”, summed up the Prime Minister.