The final account of the Republic Fund for Pension and Disability Insurance (PIO) for 2022 shows that it was the best business year in the last decade for this fund, which recorded a budget surplus of 5.178 billion dinars.
Director of the PIO Fund, Relja Ognjenović, stated that this is a significant surplus compared to previous years, when the Fund often faced budget deficits.
“This is especially important considering that in January 2022, pensions were increased by 5.5 percent, and then there was an extraordinary adjustment by nine percent.” Also, a one-time aid in the amount of 20,000 dinars was paid to all users of the Fund. “For the adjustment of pensions in the previous year, of a total of almost 15 percent, and for the payment of the monetary amount as an increase with the pension, the Fund did not have any additional subsidies from the republic budget,” he said.
What contributed to the better performance of the PIO fund?
For the first 10 months of last year, income from contributions for pension and disability insurance was higher than planned by 12.28 billion dinars, or 2.32 percent, and the reasons for this are the nominal growth of wages and the constant growth of registered employment.
Due to the increase in payments of contributions for pension and disability insurance, since May, the missing funds for the payment of pensions to beneficiaries from the employed category have not been withdrawn from the national budget. Here it should be borne in mind that pensioners from the employed category make up 84.8 percent of the total number of pensioners and that they have the highest average pension of all categories of pensioners.
Sign up for business updates & specials.
