Efficiency And Performance Of Bulgarian Private Pensions

This paper assesses the performance and efficiency of the second and third pillars of the Bulgarian pension system. The Bulgarian mandatory and voluntary defined contribution pensions follow a design typical of other countries in Eastern Europe, Central Asia region and Latin America. The Bulgarian authorities have attempted to implement policies in the accumulation phase aimed at increasing competition and transparency while containing administrative fees charged to contributors. The effectiveness of such policies is comparable to what observed in other jurisdictions with similar industrial organization of the second and third pillars.