Private pension funds will not be nationalized, but rather supported by changing legislation, to invest not only in state titles, but also more on the capital market, said Prime Minister Victor Ponta.

In November last year, the Government told the IMF it was evaluating the impact of mandatory private pensions over the pensions system and the capital market.

It said it was trying to reduce the fiscal burden without any impact on the budget, which suggested a possible limitation of the quotas distributed to private funds.

Private pension funds currently receive 4 percent of the participants’ gross revenues, and should get 6 percent in 2016.

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editor@romania-insider.com