UA RU EN

Ukraine's Pension Fund Expands Role to Manage Social Benefits System

Фонд пенсій в Україні розширює свої функції для ефективного управління соціальними виплатами. Photo: Міністерство соц. політики

Restructuring Social Benefit Administration

Ukraine's Pension Fund is progressively taking over the administration of social benefit payments, a transition that requires systematic reforms. During a board meeting of the Main Department of the Pension Fund of Ukraine in the Kyiv region, Minister of Social Policy, Family, and Unity of Ukraine, Denys Ulutin, emphasized the need to transform this work from an overtime-driven effort into a regular, planned operation. This shift aims to ensure stability and predictability within the system. This reorganization is part of broader efforts to streamline Ukraine's social safety net.

A review of the Pension Fund's work in the Kyiv region for 2025 revealed that as of January 1, 2026, the region has nearly 540,000 pensioners. The average pension amount on that date was 6,927 hryvnias, which is 797 hryvnias higher than the previous year. Throughout 2025, almost 29,000 new pensions were granted and over 80,000 pension recalculations were performed.

Social Assistance and Digital Services

Since July 1, 2025, the Pension Fund has been responsible for paying social assistance, compensations, and scholarships to nearly 290,000 individuals. In 2025, the regional divisions of the PFU provided over 680,000 services, including conducting approximately 56,000 video interviews for citizens. A significant digital milestone is that over 63% of workers in the region now have electronic work record books.

What is often done on overtime and essentially through enthusiasm today must become scheduled work. The Pension Fund is already performing this function, and our task is to ensure the system operates stably and predictably.

— Denys Ulutin

The priorities identified following the board meeting include:

  • Developing electronic services
  • Improving the administration of social payments
  • Strengthening coordination among social sector bodies

These steps are intended to enhance the quality of citizen services and increase the efficiency of the Pension Fund of Ukraine.

Therefore, implementing these planned changes in benefit administration is a crucial step toward ensuring stability in the social protection system. Transitioning to a systematic approach will not only reduce the workload on Pension Fund staff but also improve service quality for citizens, which is critically important within the context of the country's social policy.

Given the growing number of pensioners and the necessity of safeguarding their rights, especially amid economic challenges, realizing these defined priorities could be key to the effective future operation of Ukraine's pension system.