CURRENT STATE AND VECTORS OF DEVELOPMENT OF PENSION PROVISION IN UKRAINE

Abstract

The article is devoted to the consideration of the current problems of the pension system in Ukraine and the outline of the vectors of its development in modern conditions. The pension system of Ukraine, which consists of three levels: solidarity, accumulative and non-state pension provision, is analyzed. It has been established that a solidarity system actually functions in the state today, and the establishment of non-state pension provision continues in extremely difficult conditions. The main challenges in the functioning of the solidarity level of the pension system are identified: demographic changes, financial stability of the Pension Fund, informal employment and unemployment, low level of pension payments and poverty of the population, military and political situation. An analysis of the conditions and indicators of the functioning of the state pension insurance system in Ukraine was conducted, which led to the conclusion about its inability to withstand demographic changes and the economic consequences of the war. Only a comprehensive reform of the pension system, encompassing both the distribution and accumulation subsystems, is capable of creating a foundation for an adequate response to future challenges for our society. The critically important role of accumulative pension insurance in ensuring a dignified old age for every citizen is substantiated, and the current state of its implementation in Ukraine is researched. It is determined that, in modern conditions, institutional and legal preparations for the implementation of the accumulative system are underway, as there are significant obstacles on this path: political and economic instability, lack of a developed stock market, high investment risks, low public trust, and others. The performance indicators of the non-state pension system as the third level of the pension system are considered. The prospects for its development are outlined in order to ensure a higher level of pension payments in Ukraine and increase the standard of living of citizens in old age. The development vectors of pension provision in Ukraine are substantiated, taking into account the requirements of the present and the future.