Thursday, 14 September 2006
Today RA State Social Insurance Fund Council has met, chaired by council chairman, Prime Minister Andranik Margaryan.
The Council discussed and approved of the 2006 interim report on State budget performance for compulsory social insurance. The sitting similarly reviewed the progress in the execution of the assignments given at the previous meeting, the 2007 social insurance budget estimate and other issues of current interest.
With reference to agenda item one, President of RA State Social Insurance Fund Vazgen Khachikyan reported that compulsory social insurance budget receipts for the first-half year of 2006 amounted to AMD48,670.9MN, with spending totaling to AMD43,563.8MN inclusive of the funds earmarked under State-budget financed social programs. Actual collection rate for compulsory social insurance payments rose to AMD39,145.5MN in the period under review, equivalent of 107.3% of the planned target. The level of receipts exceeded last year's record by AMD8,388.2MN. The overall demand in budget funding has been met in full. According to the report, in the first semester of 2006, compulsory social insurance-financed expenditure was over AMD34,194.4MN, including: AMD31,824.7MN paid as retirement insurance, AMD242MN allocated under State employment programs, AMD1,347.2MN disbursed under State-financed social insurance programs, AMD648.7MN paid as maintenance and development costs and, finally, AMD82.4MN - paid out in overhead expenses. Mr. Khachikyan reported that in accordance with GoA Decision No. 215 of December 15, 2006, starting January 1, 2006, pensions and retirement payments averaged AMD10986 and AMD 11371 respectively as of July, 2006, owing to increases in base pension rate and insurance-induced length-of-service. According to the speaker, settlement and personal file check-ups allowed to regularize the process of pension allotment and indexation. The speaker noted inter alia that, in the period under review, the Fund contributed actively to the implementation of system improvements and drafting of legal and regulatory acts in the areas of social security and social insurance. Discussions over retirement insurance system reforms, RA laws on State social insurance fund, State service retirement security, Individual registration for State pension social insurance were held in the light of the government decree on approval of the concept note on RA pension insurance system reform. In the framework of Armenia
