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VLADIVOSTOK, September 9 (Itar-Tass) — Russian Vice-Premier Igor Shuvalov disclaimed the information published in some media about possible abolition of the funded part of pensions.
“The discussion about the funded part continues, and a final decision is not in place yet,” he said.
"We will not abolish the funded part. These are rumours,” he told reporters.
According to Shuvalov, the government is working to find a solution to the pension fund deficit problem. There are various proposals for modernization, and no proposals to abolish the part, he assured.
Earlier, Russian Economic Development Minister Andrei Belousov said that the state system of funded parts of pensions was ineffective, but its abolition would undermine the foundation of the pension system.
Belousov said there were various options of reforming. One of the possibilities is to give people the right to quit the accumulation system voluntarily. It will mean that a person will receive just an average pension when the retirement time comes, but naturally taking into account the accumulated rights. It is good for people who have small wages. The funded part is more advantageous for people with big incomes, the minister noted.