INSTITUTIONAL TRANSFORMATIONS OF THE FINANCIAL SUPPORT OF THE PENSION FRAMEWORK FUNCTIONING

Authors

  • I. Chugunov Kyiv National University of Trade and Economics
  • V. Makogon Kyiv National University of Trade and Economics

DOI:

https://doi.org/10.18371/fcaptp.v4i35.222147

Keywords:

financial and economic environment, system of public finances, pension provision, pension system, index of aging population

Abstract

The article describes the role of the pension system in providing social development. The directions of maintenance of stability and strengthening of financial stability of the pension system are determined. It is substantiated that in modern conditions the necessity of using effective financial instruments of public administration of pension provision is updated, which will enable to respond to changes in socio-demographic tendencies of social development and economic transformations while maintaining the parameters of stability and stability of pension funds’ activity. The analysis and estimation of the correlation between the average pension and the average monthly nominal wage in the CIS countries, and the share of the budget of the Pension Fund of Ukraine in GDP are analyzed. The coefficient of elasticity of the growth of the average pension and the average monthly nominal wage to the real gross domestic product, the coefficient of the ratio of the number of pensioners and the employed population in the CIS countries is calculated. The principles of implementation of institutional reforms of the pension system are described: the stages and system of transformations taking into account social and economic conditions, while preserving the balance of the system of public finances in general; differentiated approach to pensions to different socio-demographic groups depending on their contributions to pension funds; coherence with the processes of reforming other components of the system of public finance and public administration; Balance of distribution of responsibility for pension provision between employee, employer and state; protection of the rights of citizens to material provision in the form of pensions and determination of its level on the basis of substantiated social norms; publicity and transparency of the process of financial support for the functioning of the pension system; the correspondence of the forms and level of pensions to the population of the degree of economic development of countries.

Author Biographies

I. Chugunov, Kyiv National University of Trade and Economics

Doctor of Economics, Professor, Honored Science and Technology Figure of Ukraine, Head of the Department of Finance

V. Makogon, Kyiv National University of Trade and Economics

Doctor of Economics, Senior Research Coworker, Professor of the Department of Finance

References

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Published

2020-12-24

Issue

Section

Economic-theoretical aspect of Financial Credit System's development