Pensions and PIAs

Semeniuk: Ukrainians should not only earn and save money, but also become owners of capital

Personal investment accounts (PIAs) and the updated voluntary pension savings system are intended to help Ukrainians accumulate their own capital over the course of decades and to serve as a source of long-term investment for the economy.

Oleksii Semeniuk, Chairman of the NSSMC, spoke about this in an interview with the Business Censor.

“I would like as many Ukrainians as possible to become owners of capital — so they can not only earn and save money, but also manage their savings and multiply them using market instruments,” he said.

The personal investment account is intended to serve as one of the tools for long-term savings. The proposed legislation also includes a tax incentive: provided certain conditions are met and the investment is made for a period of three years or more, income from such investments may be eligible for tax benefits.

At the same time, the Commission is working to upgrade the voluntary pension savings system. The proposed model calls for stricter requirements for pension funds, their owners, corporate governance, capital, and asset oversight. A mechanism for guaranteeing pension savings is being developed in parallel.

“If a person saves money for 20 to 30 years, they should have a system that is as clear and reliable as possible to protect those savings. I want retirement to be a bright day for Ukrainians, not an anxious one,” emphasized Oleksii Semeniuk.