Potential for Long-term Money in Russia's Pension System

The key tasks for the Russian economy are to attract long-term financial resources and improve the standard of living of citizens of retirement age. The article examines mechanisms and tools for addressing these issues, drawing on foreign practices and the domestic potential of the pension system. The research methodology includes a comparative analysis of pension models in different countries and a summary of their characteristics, including sources of funding, age parameters, and income levels. Pension systems in different countries are ranked according to the level of pension payments in GDP and citizens’ participation in their pension provision. The study of the Russian pension system provides a chronology, pension provision indicators, and the profitability of pension reserves. It has been found that the share of non-state pension provision in the structure of citizens’ savings and investment products is insignificant. An assessment was made of the prospects for pension provision instruments — long-term savings programs and pension programs offered by life insurance companies; their advantages, risks, and role in the formation of investment resources were outlined. As a result, general trends were identified in the formation and implementation of pension provision in global practice, taking into account population aging and the increase in the retirement age, more active participation of employers and citizens in the formation of pension savings, and increased flexibility of pension plans considering the individual profile of the consumer. Foreign experience and domestic history of pension system’s formation are of interest for developing strategic directions for its development in Russia and increasing its efficiency. To address this issue, the authors propose the following measures: expanding programs to encourage employers and employees, including self-employed individuals, to participate in non-state pension provision; increasing the flexibility of individual pension plans offered by non-state pension funds; encouraging life insurance companies to participate in pension provision; modernizing and increasing the attractiveness of longterm savings programs and similar savings products for citizens. These measures will contribute to improving the standard of living of citizens in the medium and long term and can serve as a stable source of long-term funds in the economy.