​Private pension funds in Romania are, after banks, the most important players in the financial sector, and the money managed by these funds is the second most important financial asset of the population after bank deposits, Mugur Iserescu, the governor of the BNR, said on Tuesday.

The statements of the governor of the BNR were made during the conference dedicated to the 15th anniversary of non-state pension provision in Romania.

Mugur Iserescu emphasized that over time demographic changes were the most important reason for the creation of private pension systems.

The assets of the private pension system will reach 24.5 billion euros this year

Present at the event, Dan Armenianu, vice president of the Financial Supervision Authority (ASF), emphasized the growth of this system and the benefits brought to the economy by two private pension systems: Level II (mandatory) and Level III (optional). ).

• “For 15 years, the private pension system has grown from one period to another and has become the most important component of the non-banking financial system in Romania.
• The non-state pension market is the largest of the 3 markets monitored by the ASF, with an asset weight currently of around 8.3% of GDP, followed by the capital market with a cu. 4.8% of GDP and the insurance market, in last place, unfortunately, with a share of only 3% of GDP.
• The non-state pension market has experienced accelerated growth over the past 5 years, managing to invest in assets on average about 1% of GDP, and in absolute terms, assets have grown almost 2.5 times over the past 5 years, from €10 billion active in 2018 to a record high this year at 24.5 billion euros this year, which is an all-time high for the pension system.” said Dan Armenianu, Vice President of ASF.