Greater oversight of private pension funds and more transparency for citizens. This is the aim of the new legal amendments announced for public consultation, which seek to align Albania’s pension fund rules more closely with European Union standards.
The Financial Supervisory Authority is at the centre of the changes and would receive broader powers to supervise pension funds and management companies.
The proposal also revises risk management rules, strengthening internal auditing and governance requirements for pension funds.
Key functions cannot be delegated to third parties, while fund assets will be kept separate from the assets of the management company. This is intended to protect contributors’ savings even if the management company faces financial difficulties.
Members will also receive more information about their savings, including pension projections and different benefit scenarios.
The draft law also provides rules for cross-border activities and the transfer of pension schemes between Albania and European Union countries.
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