Guarantee Fund for Private Pensions in Parliament until March 2009
ROMANIA. The law on the establishment and functioning of the Guarantee Fund for private pensions could become a reality in the spring of 2009, according to recent legislation adopted bt the Romanian Parliament. According to the new provisions, "within 120 days after the publishing of this document in the Official Gazette, the special law regarding the Guarantee Fund in the private pensions system must be submited to the Parliament".
"The draft law on the Guarantee Fund, which is the last element missing from the complex of guarantees on the safety system is already in preparation," said Mircea OANCEA, President of CSSPP, Romania's private pensions regulator. "The role of the Fund will be really important in the payout phase, in direct connection with the responsibilities assumed by specialized funds. For now, however, the fund must be functional and accumulate money, so when the payout phase will come, probably over about 15 years, it will be able to become fully operational", Oancea told www.privatepensions.ro.
Thus, taking into account the need for promulgation and publication of the law just passed by the Parliament, the maximum period of four months for the Guarantee Fund law to be submitted to the Parliament would most likely reach March-April 2009.
