The Accounting Chamber of Ukraine has completed an audit of the Pension Fund of Ukraine (PFU), confirming that amidst the war and limited government resources, stability in the pension system has been maintained.
Read more: Vaccination in Ukraine: where to find instructions and important information
Timely pension payments
The audit revealed that timely pension payments were made for over 10 million pensioners, and scheduled recalculations were carried out. This was made possible by funding from the REASe project, particularly from the U.S. government, which enabled the reimbursement of nearly half of the pension payment expenditures and fully met the state budget’s obligations to the PFU amounting to $12.7 billion.
Improvement of control systems
The Accounting Chamber also noted positive changes in the control system for pension payments. New verification mechanisms significantly reduced the risks of overpayments and misuse of funds.
Identified issues
During the audit, factors that burden the PFU budget were identified. Among them are the imperfections in legislation regarding pension provision for certain categories of pensioners, individuals living in areas of radioactive contamination, and people with disabilities. This has led to legal claims for unjustified pension increases.
Reaction from the Ministry of Social Policy
The Ministry of Social Policy of Ukraine expressed gratitude to the Accounting Chamber for conducting the audit, which not only evaluates the government’s performance but also highlights issues that are already being actively addressed. The recommendations provided during the audit will serve as an important tool for increasing the effectiveness of the system and strengthening the stability of the PFU in times of crisis.
Audit information
The audit took place from February to September 2024, in accordance with International Standards of Supreme Audit Institutions (ISSAI). The audit analyzed the regulatory framework, financial performance indicators of the PFU for 2021-2024, the effectiveness of resource management, and the level of interaction with the Ministry of Finance and the Ministry of Social Policy. The goal of the audit was to identify risks and weaknesses that could impact the stability of the PFU, as well as to develop recommendations for enhancing the resilience of the pension system under martial law conditions.
, which confirmed that under conditions of war and limited government resources, the stability of the pension system has been maintained.){kind=link}