Commission supports Lithuania's pension reform

The European Commission and the Organisation for Economic Co-operation and Development (OECD) have been providing support to Lithuania through the Structural Reform Support Programme to strengthen the provision of funded pensions.
The analysis and recommendations prepared under the project so far were presented today during an event in Vilnius. The reform is part of package of measures to strengthen private pension savings in Lithuania, the so-called 2nd pillar of the pension system, with a view to complementing the pensions from the social insurance system (the 1st pillar). Specifically, the State Social Insurance Fund (SODRA) will take over the calculation and administration of pension payments (“annuities”), which participants have acquired under the 2nd pillar of the Lithuanian pension system. It is expected that the new approach will lead to lower administrative costs and therefore to higher pension payments for the recipients.
The Structural Reform Support Programme offers expertise to all EU countries for the implementation of growth-enhancing reforms. The support is based on request and is tailor-made for the beneficiary Member State. Since 2017, the programme has been supporting close to 800 reform projects in 27 Member States.