A SUSTAINABILITY CHECK OVER ROMANIA’S PENSION SYSTEM

Abstract

The worldwide ageing phenomenon is more visible than ever and its effects are becoming troublesome for some economies. This paper proposes to evaluate what are the long term predictions for the demographic component in Romania and if these changes are financially sustainable. In order to conduct the analysis, data was compiled from “The ageing report 2018”. At this point in time, the ageing costs are predicted to increase until 2070, while the working aged population is expected to decrease. From a financial perspective, this article emphasizes the need for a strategic planning in which policies account for ageing.

Keywords

• population ageing
• pension system
• sustainability
• demographic changes
• pension reforms