Ukraine spends on pensions roughly what developed EU countries do — around 11% of GDP — yet pays its retirees five to ten times less. This is the central paradox and the principal black hole of Ukrainian public finance. Every year, the Pension Fund absorbs 15.2% of all state budget revenues through direct transfers, while the average pension barely reaches $153 a month — against $465 in Poland and $540 in Romania.
read more..