Discusses factors that have helped to shape pension system policy goals and strategies of reform in Poland, the Czech Republic, Slovakia, Hungary, Slovenia, Croatia, Romania, and Ukraine. The factors are political support, capital formation of public and private savings, high tax rates, and social assistance. (JOW)

Since 1999 the complex reform of the old-age pension system was introduced in Poland and the process of changes is still ongoing. The multi-pillar system replaced the pay-as-you-go system. Voluntary third pillar will guarantee higher pensions for those that decide to save more. However, the systemic changes were placed in the new market economy…