Pension-fund management companies might invest savers' money in construction of rental flats or infrastructure projects that are priorities of the We Are Family party, Labour Minister Milan Krajniak (We Are Family) has said in an interview with TASR, adding that a special commission should be set up to address the situation of the second capitalisation pension pillar. This is managed by private companies that collect 5 percent of the monthly mandatory contributions to pension funds paid by employees and the self-employed.
The joint commission should feature representatives of the Labour and Finance Ministries, while experts and pension-fund management companies would be invited as well. It should begin work as of this autumn. It would suggest measures to be taken, including legislative ones. "I support the pensions of people of retirement age being comprised of as many components as possible. During the next year I intend to prepare legislative proposals, maybe also some constitutional changes, that would guarantee the pension system's long-term stability," said the labour minister. "Maybe we could stabilise the system by allowing pension-fund management companies to invest the money in infrastructure projects in Slovakia and in the construction of state-run rental apartments. These will remain in Slovakia, they are long-term projects for dozens of years that would generate stable incomes for many years," he said.
