Russia’s central bank to form biggest non-state pension fund with $9 billion merger: sources
Russia’s central bank is preparing to merge three pension funds of bailed out bank Otkritie to create the biggest non-state pension fund in Russia, while guaranteeing payouts to their 7.7 million members, three people with knowledge of the matter said.
The funds had been indirectly controlled by Otkritie Holding, the former parent of Otkritie bank. Once Russia’s largest private lender, it was rescued in August by the central bank, which was then lumbered with the three pension funds too.
The Russian central bank has since increased the estimate of the overall cost of the bailout, which includes the three pension funds, Lukoil-Garant, Eletroenergetiki and RGS, to 456 billion rubles.
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