Azerbaijan, Hungary to sign agreement on social insurance and pensions
Azerbaijan, Baku, Oct. 22 /Trend, A. Akhundov/
Azerbaijan and Hungary are preparing to sign an intergovernmental agreement on cooperation in the sphere of social insurance and pensions.
Different areas of cooperation within the framework of the agreement were discussed on Tuesday in Baku at a meeting of the head of Azerbaijani State Social Protection Fund, Salim Muslimov and the head of the Central Administration of National Pension Insurance of Hungary, Jozsef Meszaros.
In particular, the sides discussed issues of implementing and eliminating the real storage component in pension-insurance system in Hungary, as well as the work of private pension funds. Hungary started to use the storage component in 1998, but abandoned it in 2011.
According to Muslimov, problems in the pension system are based on compulsory real accumulation, and in connection with this a complete or partial withdrawal from these systems once again prove the correctness of Azerbaijan's conservative approach to the issue.
The sides also discussed a number of other issues of mutual cooperation.