Ukraine improved pension payment mechanisms in the temporarily occupied territories: what has changed

The Cabinet of Ministers of Ukraine has improved the mechanism of mandatory identification of pension recipients who are in temporarily occupied territories. Now pensioners must undergo mandatory identification every year, writes UNN with reference to the Accounting Chamber.

In order to increase the efficiency of using PF funds and improve the system of pension payments in the TOT, the Cabinet of Ministers of Ukraine adopted a resolution that provides for mandatory annual identification of pensioners and defines the grounds for stopping their payments in case of non-compliance.

It is noted that the government also introduced changes to the procedure for interaction between the Pension Fund and banks, obliging banks to inform the PFU about pensioners undergoing physical identification. It will also be possible to return the remaining funds from recipients’ accounts to the PFU if no transactions have been made on them for more than a year.

AdditionThe Ministry of Finance of Ukraine timely and fully financed social payments in the first half of 2024. For these purposes, UAH 191.5 billion was allocated from the state budget, of which more than 59% went to pensions.

The Cabinet of Ministers of Ukraine decided to transfer pension funds of internally displaced persons who have not used their accounts for more than a year or have not undergone identification, to the Pension Fund of Ukraine for safekeeping. The right to these funds remains fully with the pensioners, who can receive them after undergoing identification.