The Pension and Disability Insurance Fund (PIO) deficit for the first two months of this year amounted to 80.34 million EUR, which is a 75% increase compared to the same period last year.
The PIO Fund stated that the deficit is calculated as the difference between the earmarked revenue from contributions and the total necessary funds to cover all the Fund’s expenses.
“The deficit for the same period last year was 45.71 million EUR, representing 41.55% of the financing structure. This year, the deficit for the first two months represents 62.76% of the financing structure,” the PIO Fund explained, with Vladimir Drobnjak at its helm.
This year, reforms under the “Europe Now 2” program are being implemented, which include a 10.5% reduction in income contributions. The program started on October 1st.
“Revenue from contributions in January and February amounted to 48.6 million EUR, which is approximately 25% less than the revenue from contributions in the same period last year, which amounted to 65.2 million EUR. The deficit of the Fund is 80.34 million EUR, 75% higher than last year’s deficit of 45.7 million EUR,” the PIO Fund clarified.
In the first two months, the total expenses of the Fund amounted to 128.95 million EUR, of which pension expenses were 128.54 million EUR, or 99.68%.
“The amount paid for pensions is 16.4% higher than the pension payments made in January–February last year,” the Fund noted.
They emphasized that the revenues and expenses in January and February are in line with the plan for this year.
“Funds for the payment of benefits are within the planned expenditure for this year,” the PIO Fund added.
