Pensions to increase in Georgia from January 1
BAKU, Azerbaijan, Dec.1
By Tamilla Mammadova – Trend:
Pensions will be increased from January 1, 2021, based on the draft-project of the state budget that has already been submitted to the Georgian parliament for approval, Trend reports via the Press Service of Finance Ministry.
As reported, the pensions for pensioners under 70 will be increased by 20 lari ($6.05) and will be 240 lari ($72.59), while pensions for pensioners above 70 will be increased by 25 lari ($7.56) and will amount to 275 lari ($83.17).
The assets of the State Pension Fund of Georgia reached 1.1 billion lari ($333.6 million).
This amount represents the pension savings of 1 million citizens.
According to the Pension Agency, an effective interest rate of 11.1 percent per annum is charged on pension assets.
In October, the pension agency approved the investment policy document. The document defines the process of investing pension contributions by the population and establishes specific requirements that a particular financial instrument must meet in order to be able to invest pension savings of citizens in it.
Today, 100 percent of citizens' pension savings are denominated in lari. At the same time, 70.8 percent of the amount is in certificates of deposit of commercial banks in Georgia, and 27.8 percent - in interest accounts.
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