BAKU, Azerbaijan, Sept. 2
Tamilla Mammadova – Trend:
Georgia's funded pension system has already accumulated 1.69 billion lari ($544 million), Trend reports referring to the Georgian media.
According to the Pension Agency, the assets accumulated today have an interest rate of 11.1 percent.
Total of 1.16 million Georgian citizens are involved in the funded pension system, which is managed by the State Pension Agency. Participation in the system is mandatory for citizens under 40 years old, for adults over 40 years old - voluntarily.
According to statistics, the pension fund monthly allocates about 50 million lari ($16.1 million).
According to the minutes of the meeting of the Investment Council of the Pension Agency, as of June 24, 2021, 66.9 percent of citizens' savings were in certificates of deposit of commercial banks in Georgia, and 33.1 percent - in current interest accounts.
In July, annual inflation in Georgia reached a 10-year high of 11.9 percent, 0.8 percentage points higher than the interest charged by the Pension Fund. The International Monetary Fund predicts that inflation in Georgia will remain above 9 percent until the end of 2021.
---
Follow the author on Twitter: @Mila61979356