Private pension

The creation of a Europe-wide insurance market that will be able to provide customers with a guarantee of stability and transparency is the European Insurance and Occupational Pensions Authority's (EIOPA) key objective.

After Labour Ministry started to investigate the increasing debts run up by the State Pension Fund, PIOM, it rushed to repay its multi-million euro owings, private pension funds confirmed.

PIOM's debt burden had raised questions about its liquidity and the government's policy of annual pensions increases.

Bulgaria's Finance Ministry reversed its decision regarding the social insurance contributions of newly insured persons.

At present the private insurance funds in Bulgaria have accumulated around BGN 8 B, the system is stable and there is good legislative regulation.

The government is inclined to renounce changes to the pension system that make mandatory contributions to private pension funds optional, Finance Minister Vladislav Goranov said on Sunday.

Bulgaria's President Rosen Plevneliev said on Saturday he wouldn't veto a controversial amendment to the pension insurance model that makes mandatory contributions to private pension funds optional.

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Bulgarian lawmakers have narrowly approved changes to the pension system comprising various aspects of pension insurance.

Legislative amendments were passed with the votes of the main ruling party Citizens for European Development in Bulgaria (GERB), the third-largest electoral force Movement for Rights and Freedoms (DPS) and part of Bulgarian Democratic Center (BDC) MPs.