Russia’s Pension Fund plans to do more

After the appointment of Andrei Kigim as the head of the Russian Pension Fund (PFR), the structure can be merged with the Social Insurance Fund (FSS), which was previously headed by an official. Izvestia writes about this with reference to sources close to the government.

However, some of them do not exclude that the planned reform will turn out to be even more significant – the Mandatory Health Insurance Fund (MHIF) will also make part of the FIU. This will further optimize and digitalize the processes of obtaining social support to the level of one window.

The very appointment of Kigim was explained by the interlocutors of the publication with the results of digitalization in the FSS, with the official’s agreement to transfer the administration of contributions to the off-budget funds of the Federal Tax Service (FTS). Influenced his choice and acquaintance with the topic of social insurance.

Vice-Rector of the Financial University under the government, Alexander Safonov, expects that in the event of the merger of the two structures, the savings will amount to at least 50 billion rubles a year. One of the ways to reduce spending will be to reduce the number of employees, and hence the cost of offices. If it loses its independence and the MHIF, the savings will reach 120 billion.

Russian Prime Minister Mikhail Mishustin signed a decree appointing Kigim as head of the PRF last week, February 12. Previously, the organization was headed by Maxim Topilin, who came to this post after the resignation of Dmitry Medvedev’s cabinet a year ago.

Prior to this, presidential press secretary Dmitry Peskov explained low pensions by negative periods in the country’s history, black stripes, to which the Russian leadership has nothing to do.

/Media reports.