BAKU, Azerbaijan, October 2
By Tamilla Mammadova – Trend:
The volume of pension savings exceeded 1 billion lari ($312.8 million) in Georgia, 484 people received payments, Trend reports via the Georgian Pension Agency.
According to the agency, a profit of 100 million lari ($31.2 million) has already been accrued on pension savings.
As for those who took advantage of the savings, 223 of them reached retirement age, 201 received savings based on the status of a person with disabilities, and one because of moving abroad. Another 59 people have inherited savings.
According to the agency, the annual effective return on pension assets is 11.1 percent, which is 2.3 times higher than the annual inflation in the country - as of August it was 4.8 percent.
In addition, the annual activity of pension assets is 1.3 percent higher than the rate of return on the lari.
The funded pension system has been launched in Georgia since January 1, 2019. The new pension system is mandatory.
According to the developed scheme, with a nominal annual income of less than 24,000 lari (almost $8,000), 6 percent of the amount of citizen's salary will be transferred to the pension account of a citizen: 2 percent he will pay himself, 2 percent - his employer and another 2 percent - the state. With an annual salary of 24,000 lari to 60,000 lari ($20,000 ), the state will transfer only 1 percent.
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