“The private pension system is an instrument that we have gained, that we have and it is good to promote it and it should have a cultural effect. Nearly all the markets we (ASF) regulate have to do with a cultural model, with financial education, with what we must do for ourselves, including saving up for old age. I don’t know whether we’ll be able to live off those pensions or not but it’s good to have savings,” Negritoiu said at the Forbes CEE Forum.
Asked whether Romania should follow the Polish model and nationalize private pensions, he said he believes the system should remain as it is because Romania cannot afford the same expenses as Poland, which has a more developed economy.
“I think Romania should keep the private pension system as it is and our main goal is to convince politicians the system is worth it and is safe,” Negritoiu said.
He added the size of private pensions cannot fundamentally change Romania’s budget resources and political talks target a safe pension system that protects contributors.
Negritoiu also said there are no plans to freeze contribution levels to mandatory private pensions, which are currently at 4.5% and should reach 6% in 2016.