Georgia’s pension agency says net asset value of fund rated at $1.03bln

The pension agency of Georgia has estimated the net asset value of the country’s pension fund at ₾2.78 billion ($1.03bln) in its latest report, with the update also showing the fund’s net return between 2019 and November 2022 at 38.8 percent ($145mln).

The real return of the fund - considering inflation - reached 1.4 percent in the same period, the agency said, adding it had begun buying the US dollar currency, with 17.5 percent of its investment portfolio invested in dollars as of November 9 and the remaining 82.5 percent - in the national currency, the lari.

The investment portfolio is currently distributed as follows: 

• 3.6% is placed in current interest accounts
• 13.5% - in local treasury bonds
• 8.7% - in US treasury bonds
• 7.9% - in global stocks
• 0.9% - in Eurobonds
• 65.4% - in certificates of deposit and term deposits

Overall, 1,337,000 people have been registered in the pension scheme as of November 9. To date, 2,701 people have benefited from the accumulative pension system, and the amount paid to them standing at ₾6,698,273 ($2,471,822), the agency added. 

The system came into effect in Georgia in January 2019 and applies to Georgian citizens, foreign citizens living in Georgia with a permanent residency in the country, and stateless persons who are employed or self-employed and receive an income. 

It also applies to employees of both the public and private sectors.