- Funding Programme
- Technical Support Instrument (TSI)
Supporting the reform of occupational pensions in Greece
The European Commission supported the Greek authorities with the enhancement of the regulatory and supervisory framework for Institutions for Occupational Retirement Provision (IORPs). The project entailed an analysis of the current status of the Greek pension system, and the provision of recommendations aimed at fostering the second pension pillar in Greece, through enhanced rules and supervisory practices.
Greece faces ageing population and long-term pension adequacy challenges. The current pension system is overwhelmingly pay-as-you-go, while occupational and personal pensions play a very limited role. While there is already an ongoing reform of the auxiliary pensions of Pillar 1 aiming to introduce a mandatory Defined Contribution system, Pillar 2 occupational pensions could also play a central role in supplementing retirement income in the future, complementing ongoing reform efforts.
The Commission has collaborated with EIOPA to offer Greece support in the reform of its regulatory and supervisory framework for IORPs. Support provided included the provision of a detailed analysis of the status of the pension system in Greece, with a specific focus on the second pillar regime for IORPs, and the elaboration of detailed recommendations for the strengthening of the regulatory and supervisory framework, based also on international experience. The project will ultimately contribute towards the improvement of consumer protection, increase of public confidence in the market and the overall efficiency and stability of the pension sector.
By implementing the recommendations provided through this technical support initiative, Greece will effectively strengthen the regulatory environment for IORPs and the supervisory capacity for this specific sector, by also improving existing methodologies, tools and processes. These factors will ultimately contribute to ensuring a higher degree of protection for pension consumers and beneficiaries that in turn will result in a more efficient, resilient and stable financial sector.