Government announced extending of pensions freeze


According to Deputy Prime Minister Olga Golodets, the savings part of pensions will be frozen again in 2017: the transfer to the Pension Fund is not provided in the budget draft.

“The extreme limits are shown, there is no transfer to the Pension Fund in the budget,” said Golodets.

In July, the head of the Ministry of Labor Maxim Topilin said that the moratorium on the savings part of the pension is likely to be extended in 2017. It was also reported that the draft of the federal budget and the Pension Fund budget for 2017-2019 does not provide the formation of pension savings.

The freeze of the savings part of pensions in Russia lasts since 2014. According to the Ministry of Finance, for the period from 2014 to 2015 it allowed to save 244 billion and 310 billion rubles ($3.7 billion and $4.7 billion – RRT), respectively. In 2016 the government expects to top up the budget with 344 billion rubles ($5.3 billion – RRT).