The main source of funding for PIOM is the so-called source income, ie. income from collection of contribution for pension and disability insurance on gross salary, i.e. 18,8 percent, said Nikola Memov, the director of the PIOM Fund, in tonight's interview in "Win-Win" on "Telma".

"Of those source revenues, of 18,8 percent, it should be known that only a part of them is used for the payment of pensions, and another part is paid out, that is, transferred to the so-called second pillar in the state. Or 12,8 percent are paid for pensions, and 6 percent, that is, one third of the total Budget that is collected as income from these sources of financing, etc., is transferred to the second pillar," emphasized Memov.

Source finances, that is, from 18,8 percent, he added, are not enough to pay all pensions.

"The previous governments, since the formation of the Macedonian state, knew that the funding could not be fully covered by contributions for pension and disability insurance. That is why concepts are made to find ways to provide a passive source of income. In the 90s, when the Law on Privatization was passed, that concept was applied through percentage shares, shares from joint stock companies. And, imagine, the Pension and Disability Insurance Fund had shares of over 10 percent of Alkaloid, of Europe, of Cementarnica, of Telecom, of Komercijalna banka... Of all the big companies in Macedonia. The concept was through the commercial, successful operation of these companies, through dividends, to cover that hole for the payment of pensions," Memov explained.

From various socio-economic measures, he added, "past governments sell these shares in companies, successively, with the decision of the government, and give up those shares".

"So the state, the government. gives up that source of funding. As a concept, that additional passive income must be provided to fill the budget coffers for the payment of pensions, a new reform is made again in 2003, 2004 with three pillars, where this concept of providing funds, a passive source of financing. So the money should work for you, that is, for us. He gives that role to pension companies in the second pillar, with the intention that they become better investors, better managers of capital and fertilize the money. So, the budgets allocated by the insurers will be fertilized", explains Memov.

The transfers from the government to the pension fund for the payment of pensions are designed, they are strategically placed, Memov points out.

"The government knew 20 years ago that one third of the collected budget would be paid and accumulated in the second pillar," says the head of PIOM.