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Central Bank rejects reports Russians lost over $1.1 bln in pension funds

The guarantee system stipulates compensation of paid contributions by par value, the regulator says

© Egor Aleev/TASS

MOSCOW, September 28. /TASS/. Information that Russian citizens lost over 70 bln rubles ($1.1 bln) in private pension funds (PPF) is contrary to facts because the retirement savings guarantee system stipulates compensation of paid contributions by par value, the Bank of Russia said on Wednesday.

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Russians lost 74.5 bln rubles ($1.2 bln) during the last year and in the beginning of this year in the contributory pension system, Deputy Prime Minister Olga Golodets said earlier today.

"Information that citizens lost over 70 bln rubles ($1.1 bln) in private pension funds is at variance with facts. The guarantee system stipulates compensation of paid contributions by par value. The Bank of Russia transfers that money to accounts of citizens with the Pension Fund of Russia. The Bank of Russia compensated 66.7 bln rubles ($1 bln) of retirement savings to citizens to date, including 16.5 bln rubles ($258.8 mln) for PPF with revoked licenses," the regulator said.

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