LSDM raises alarm: lack of money in the budget puts pensions at risk

LSDM, the opposition party, has accused the government led by Hristijan Mickoski of deliberately damaging the pension system in North Macedonia, while warning that the lack of financial resources could jeopardize both pension payments and the functioning of the second pension pillar.

During a press conference, Renata Mladenovska, a member of LSDM’s Executive Council, said that the financial gap in the Pension and Disability Insurance Fund (PDIF) has reached 40 percent. According to her, the future of the second pension pillar has also been called into question.

She also referred to the statement by Governor Trajko Slaveski, who said that up to 80 percent of citizens who will retire in the 2030–2032 period will not be able to secure even the minimum pension.

According to LSDM’s position, the government is preparing to weaken or abolish the second pension pillar by returning workers’ contributions from private funds to the state PDIF fund. The opposition believes that such a step would leave future pensioners dependent solely on the state budget, which, according to them, is already facing major financial difficulties.

Mladenovska also accused the government of increasing public debt, saying that in just two years it has raised it by 2.5 billion euros. She also added that the budget deficit projected for the entire year had already been used up in the first half of the year.