Shvetsov: the Central Bank is preparing a new system of pension provision of citizens

NEW YORK, October 7. The Bank of Russia jointly with the world Bank is developing a new system of pension coverage of citizens, alternative cumulative, told journalists the first Deputy Chairman of the CBR Sergey Shvetsov during new York session of Moscow exchange forum.

“We are now working on a new scheme, we are not yet ready to announce, but I think that in the next month will do it. The world Bank engaged to advise,” – said Shvetsov.

First Deputy Chairman of the Central Bank said that it will be a system that will allow citizens to have a “normal replacement rate”. “We are trying to formulate some kind of alternative that would be less costly for the budget, but no less effective from the point of view of volume of attracted funds of the population for the subsequent increase of the replacement ratio”, – he stressed.

Shvetsov also said that the new scheme will likely not be fully voluntary. “Still it will be some variant of incentive, which is either citizens or enterprises will stimulate to save money in private pension funds”, – he noted.

Shvetsov has not excluded that the new model will be developed based on the work carried out by the regulator to establish a system of guaranteeing pension accumulation.

First Deputy Chairman of the Central Bank also expressed its regrets regarding the extension of the moratorium on transfer of pension savings of citizens. “It is a pity that the accumulation was frozen for another year. Given that this is the third time in a row, the probability that the decision will not be permanent, drastically decreased”, – he concluded.

Earlier today, the head of the FIU Anton Drozdov said that the decision on freezing of pension savings by 2016.