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DISCUSSION ON REFORM OF CROATIAN PENSION SYSTEM STARTS IN ZAGREB

ZAGREB, 18 June (Hina) - The Croatian Fund for Pension and Disability Insurance (RFMIORH) started a discussion on the reform of the pension fund in Zagreb on Wednesday. Some 20 papers on various aspects of the forthcoming pension reform in Croatia will be presented during the discussion, which is to last the whole day.
ZAGREB, 18 June (Hina) - The Croatian Fund for Pension and Disability Insurance (RFMIORH) started a discussion on the reform of the pension fund in Zagreb on Wednesday. Some 20 papers on various aspects of the forthcoming pension reform in Croatia will be presented during the discussion, which is to last the whole day. #L# The pension reform is one of the most complicated endeavours the Croatian state is faced with, said RFMIORH President Damir Zoric opening the discussion. According to Zoric, the reform would be made even more complicated by a high share of pension allowances in the annual national product, the unfavourable relation between the number of employees and pensioners and accelerated ageing of the population. The situation is further aggravated by difficulties relating to transition into market economy and consequences of the war, Zoric said, adding that it was necessary to consider all facts before the beginning of the reform. Its failure could cause a severe social crisis which would befall one fourth of the population, Zoric warned. The last draft of the law on pension insurance envisages the rationalisation and improvement of the system with a whole set of measures (longer years of service, change in conditions of pension accounting, fulfilling of state obligations towards the Fund etc.). Today's discussion is also attended by Labour and Social Care Minister Joso Skara, Finance Minister Bozo Prka, representatives of the Fund, pensioners' associations and unions, employers and representatives of the World Bank and International Labour Organisation for Central and East Europe. (hina) rm jn 181543 MET jun 97

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