REFORMING THE SOCIAL SECURITY SYSTEM, APPROACHING THE EU STANDARDS

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Ilir Kaduku

Abstract

In this work we address the issue of social security insurance, particularly pension scheme, in post-transition Albania. After a brief recourse into the history we describe the current situation and provide evidence of unsustainability of the system and the underlying problems. We argue for setting the objective of creating a multi-pillar self supporting system as a replacement for the unbalanced pay-as-you-go scheme. Finally, we propose roles the government and the public sector should play in developing a new sustainable system.

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