Cyprus Labour and Social Insurance Minister Zeta Emilianidou has said that the real reserve of the Social Insurance Fund and the expected revenue to cover expenses will last until 2060 and therefore no further measures are needed.
This means that present-day 18-year-olds are assured of a pension, but there is no indication if the ageing population and the stubborn trade unions that refuse to hike the retirement age in order to prolong contributions will affect the next generations.
Emilianidou said that the actuary study on the basis of which the Social Insurance Fund is sustainable until 2060 was evaluated on September 25 by the Ageing Working Group and the Economic Policy Committee of the EU and its results were adopted with no objections.
Emilianidou noted in a written statement that the study was completed on the basis of the provisions and the deadlines of the Memorandum of understanding with the Troika for the bailout, austerity measures and public sector reform.
“The study was evaluated by the International Labour Organisation and its findings were approved by the Organisation,” she added.
Furthermore, she said that the Ageing Working Group adopted the results of the study with no objection, “underlining that it accepts the rationale, accuracy and quality of the results.”
This is a positive development for Cyprus, as no further measures will be needed, Emilianidou said.
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