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The fiscal burden of the legacy of the civil service pension systems in northern Cyprus*

Published online by Cambridge University Press:  04 April 2012

HASAN U. ALTIOK  and
GLENN P. JENKINS
HASAN U. ALTIOK
Affiliation:
Eastern Mediterranean University, North Cyprus (e-mail: hasanulasaltiok@gmail.com)
GLENN P. JENKINS
Affiliation:
Eastern Mediterranean University, North Cyprus Queen's University, Canada (e-mail: jenkins@econ.quennsu.ca)
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Abstract

This paper estimates the fiscal burden of the Pay-As-You-Go (PAYGO) civil service pension systems that were closed in 2008 to new members in North Cyprus. Estimates are made of the difference between the present values of future contributions and the future pension benefits. The future pension benefits are those received by the individuals covered through these plans for the period from 2009 to the death of the last member in the system. The estimated unfunded cost of these historical civil service pension plans is 7.3 billion euros or 276% of GDP.

Keywords

H55H68Civil service pensionspension liabilitiesimplicit pension debtpension indexingNorth Cyprus

Information

Type
Articles
Information
Journal of Pension Economics & Finance , Volume 12 , Issue 1 , January 2013 , pp. 92 - 110
Copyright
Copyright © Cambridge University Press 2012

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Footnotes

*

The assistance and comments of Mustafa Besim over the duration of this study are greatly appreciated.

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