Pension system reform guru Gora urges UNFE to support fund consolidation

Pension system reform guru Gora urges UNFE to support fund consolidation One of the main orchestrators of pension reform in Poland, warns that the delay in the process of consolidation of pension funds, caused by the Pension Fund Supervisory office (UNFE), could lead to bankruptcies of some funds. Marek Gora, who headed the team which organized pension system reform in Poland, says consolidation should be at a much more advanced stage than it is right now. "Consolidation of the market should have begun a long time ago. In the first quarter of [2000] it was more or less clear what each fund has achieved. And this was the right moment to begin consolidation, which should lead to the formation of institutions able to prosper in the long term." According to Gora, the reason why pension funds are not very keen to merge is UNFE's negative attitude toward consolidation of the market. He finds such an approach unreasonable, as delaying consolidation could lead to bankruptcy of some funds, which according to Gora is the least desirable way of consolidating the market. (Puls Biznesu, page 7)