Minister: “Serious rehabilitation ensured in State Social Protection Fund”

  • 17:18 16 March 2020

Minister: “Serious rehabilitation ensured in State Social Protection Fund”

“As a result of the conducted reforms, the serious rehabilitation has also been ensured in the State Social Protection Fund itself. For the first time, AZN 320 million from the funds allocated for pensions financed at the expense of the state obligations, were returned to the state budget – AZN 150 million in the middle of the year in the framework of correction of the budget package, and AZN 170 million – in the end of the year”, said the Minister of Labor and Social Protection of Population Sahil Babayev while being received by President Ilham Aliyev, ONA reports.

“As a result of the groundless and false pension awards, the additional saving of AZN 200 million was obtained, which was left in the reserves of the State Social Protection Fund in order to be allocated for pension reforms in the current year. In other words, the balance in the total amount of AZN 520 million has emerged which is very important from the viewpoint of rehabilitation of the pension system”, the minister stressed. 

S. Babayev said another important indicator is that while the funds allocated from the state budget to the Pension Fund for the financing of the state obligations accounted for 38 percent of its incomes as of the end of 2017, this indicator dropped to 29 percent as early as in 2020: “Thus, the serious progress has been made in the area of reduction of budget dependence by means of achievement if independence by the Pension Fund”.