The IMF has supported raising the retirement age in Russia

The IMF has supported raising the retirement age in Russia

The IMF Executive Board supported plans to carry out pension reform in Russia. This is stated in the press release of the Council on the outcome of consultations with the Russian authorities.


“They [the members of the Executive Board of the IMF] endorsed the plans of the government [of Russia] to carry out a parametric pension reform that can help to neutralize the negative demographic trends,” — said in a press release.

The IMF report prepared for the Executive Board, says that the current retirement age is 55 and 60 years for women and men respectively — low by international standards and have not been adjusted for many decades. Provisions for early retirement quite “generous”, the report says, and eventually the average actual retirement age is significantly lower than the law.

Because of this, the number of pensioners is high by international standards, while “the number of those who contribute in this system money, low enough that it threatens the stability of the system”.NewsHow Vladimir Putin has changed the pension reform

Besides the fact that the reform “temporarily compensates the negative demographic trends,” it will ease the pressure on the budget and in the short term, can also relieve pressure on the labor market, the report says.

In June, the government submitted to the state Duma a bill on pension reform. The original version stipulated that the retirement age will be raised to 63 for women and 65 for men. The lower chamber of the Parliament adopted in the first reading. On 29 August President of Russia Vladimir Putin made a televised address and announced the easing of the reforms proposed to raise the retirement age for women to 63, to 60 years. Amendments submitted to the Duma.

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