NEWSWATCH: “The Russian pension system’s 2018 deficit will be twice as big as predicted” – Meduza

File Photo of Elders Walking in Russia

“Russia’s Labor Ministry has amended the Pension Fund’s 2018 budget to reflect a deficit that’s more than twice as high as predicted, rising from 106.6 billion rubles ($1.7 billion) to 256.8 billion rubles ($4.1 billion). The Pension Fund is expected to earn just 66.7 billion rubles ($1.1 billion), while spending 83.5 billion rubles ($1.3 billion). Spokespeople for the Pension Fund told … RBC that the revised forecast is the result of cuts in federal subsidies and the rising costs of Russia’s pay-as-you-go pension payments.  The Pension Fund’s ‘distributive’ budget (the money collected from working Russians and paid to current retirees) will be more than 150 billion rubles underfunded in 2018, and the Labor Ministry plans to plug the gap with money taken from the fund’s ‘transferrable’ budget. …”

Click here for: “The Russian pension system’s 2018 deficit will be twice as big as predicted” – Meduza

[featured image is file photo, not directly related to article subject matter]