Pension reform in Macedonia without a final decision, retirement age could go up to 73

No final decision has yet been made بشأن reforming the pension system or on a possible increase in the retirement age. Finance Minister Gordana Dimitrieska-Koçoska said the government will first wait for the analyses and recommendations to be prepared by the International Monetary Fund (IMF) and the World Bank before determining its next steps.

After presenting the two-year report on the work of the Ministry of Finance, she responded to journalists’ questions by clarifying that the international financial institutions will prepare an in-depth assessment of the state of the pension system. According to her, special attention will be paid to the first and second pension pillars, as well as their long-term financial sustainability.

Dimitrieska-Koçoska stressed that these analyses are expected to provide a clearer picture of the situation, but clarified that this does not mean the government will automatically accept every recommendation that may emerge from them. She also underlined that one of the issues that could be raised by these assessments is a possible increase in the retirement age; however, for now, this remains only a possibility and not a concrete proposal.

The minister said that, in her personal view, more flexibility should be created for citizens. According to her, those who want and are able to continue working should have that opportunity, while citizens who want to retire under the current rules should not be forced to stay in work longer. She stressed that professions differ in terms of working conditions, and therefore the approach should be more flexible.

According to her warning, the biggest problem for the pension system continues to be unfavorable demographic trends. The aging of the population and the decline in the number of working-age citizens, she said, pose a serious threat to the long-term sustainability of the pension fund, not only in North Macedonia but also in most European countries.