By 2020 age retirement and social pensions in Russia will double, Health and Social Development Minister Tatyana Golikova told the international seminar devoted to the pension systems' development guidelines in the modern world.
"By 2020 the nominal increase in the average annual age retirement pension is forecast at 90 percent in contrast to 2011," she said. "The average annual social pension will also double to grow by 110 percent."
Golikova said the average retirement pension in Russia was 171.2 percent against the subsistence level. She added that this ratio would be preserved by 2020.
At the recommendation of the ILO a retiree shall be entitled to a retirement pension at a rate of no less than 40 percent of the average earnings during the employment period. "Now the replacement rate of a retirement pension in old age is 37.4 percent," said Golikova.
Speaking of the widely discussed issue of the retirement age, Golikova said such decisions must be weighed.
"Any decision of the pension system should be well calculated," she said, noting that such commitments were long term.
According to the minister, making a decision on the retirement age issue would be impossible without addressing a number of challenges.
"Every citizen should have a clear idea at what age to retire," said Golikova, stressing that these parameters "shall be adequate to life expectancy and pursue the exclusive purpose of improving the quality of life of the retiree."
"Without solving these problems raising the question of retirement looks inappropriate," she added.
Source: ITAR-TASS - World Service Wire (English)