INSURERS WILL HAVE OPPORTUNITY TO ALLOCATE FUNDS TO ACCUMULATION SFSS VOLUNTARILY IN 2006-2007
The State Fund for the Social Security (SFSS) submitted the draft law В"On private pension fundsвЂќ to the Azerbaijan PresidentвЂ™s executive office and the Cabinet of Ministers, the fundвЂ™s chairman Salim Muslimov told Trend on 26 August.
"Passing such a law will enable to introduce the accumulating system in Azerbaijan on deductions for the social securityвЂќ, Muslimov said.
According to him, under the legislation introduction of the base pension notion, which will be equal to the minimal salary is planned. It means pensions will grow parallel to the growth of the minimal salary.
"Our goal is the maximal approaching of pensions to the average salaryвЂќ, Muslimov said.
The new legislation will also reflect the issues of indexation of pensions to be executed once in a year with taking into account the inflation rates.
The accumulating system will appear in Azerbaijan not earlier 2008, Muslimov said.