Private future for Albanian pensions

TIRANA, March 4- The World Bank (WB) organized a conference addressing the pensions’ scheme. The reform in the pensions was considered imminent according to the WB representative in Albania, Camille Naumah, since it risks to collapse. Some versions of reform include the partial or full privatization of pensions and their distribution more evenly during a lifetime. Finance Minister Bode explained that the reform would need to be spread over time, in a long term 30 years strategy plan and would require determined political will and consensus.
The pensions’ scheme costs the government every year subsistent summand is considered unsustainable in the long run. The government has reported that the negotiations with the opposition have started for a completely different approach that will engage the private savings option much more than it has been discussed before. Complete privatization would be an extreme move that would require a reliable company. The state than would give up its 70 million subvention scheme and reduce administrative costs of collecting contributions. It would still keep minimum pensions under its own management.