Azerbaijan, Baku, 14 November / Trend corr. I.Khalilova/ Revenues of
the State Social Protection Fund (SSPF) budget will increase by 26.3% to AZN
1.775bln in 2009, compared with 2008, Chairman of the Parliamentary Commission
on Social Policy Hadi Rajabli said at a plenary meeting of the Parliament to
discuss the budget of the SSPF for next year.
He said 72% of budget revenues will be formed through the proceeds of
compulsory contributions to social insurance, which is up 25.4% as compared to
2008. Revenues from compulsory contributions to social insurance are projected
at AZN 1.278bln.
A positive factor is that 57.5% of the budget will be achieved through business
entities. Transfers from the state budget are expected at AZN 495mln, with an
increase of 28.6%.
SSPF budget for 2009 will entail no deficit, so costs are also projected at AZN
1.775bln, which is also up 26.3% than in 2008. A part of them (93.5%) will be intended to pay labour pensions.
In 2009, pension payments comprised AZN 1.66bln of the Fund's expenditures. AZN
1.21bln (24.2% growth) of the pension payments will go to the basic part of
labour pensions, AZN 450mln (31%) to insurance part of labour pensions,
including AZN 49mln to its indexation at the inflation level of 2008.
According to Salim Muslumov, chairman of the State Social Security Fund (SSSF), the number pensions who will retire in 2009 were taken into consideration while forming expenses for payment of labour pensions. This figure includes men born in 1947 and women born in 1952, as well as women born in 1958 with three children and 1959 with four children, etc.
According to calculations, in 2009 the average number of pensioners in Azerbaijan is predicted at 1.29mln people, including 1.277mln pensioners at the beginning of next year and 1.303mln by 2010.
In 2009 it is planned to direct AZN 47.475mln at the payment of benefits, AZN 20.41mln at maintenance of the Fund, AZN 21.2mln at the banking services in connection with the conduct of pension payments, and the rest expenses will be included in other articles.
According to Muslumov, presently there are problems with attracting legal and physical persons to the social insurance. Measures taken to legalize the wages did not yield the expected results. However, the application of a 'single window' principle; beginning from 1 January 2008 enabled to increase the number of payers of obligatory social insurance duties by 135,000 as of 1 July as compared to the similar period of 2007.
The head of Fund said that on 1 October 2008 the number of labour pension beneficiaries reached 1.266mln with an increase of 25,000 people.
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