DEMOGRAPHIC SITUATION IN THE WORLD AND IN UKRAINE AND ITS IMPACT ON PENSION SECURITY OF CITIZENS

Abstract

The demographic situation in Ukraine and worldwide shows that over the last few decades, there has been a trend of population aging, which significantly impacts the financial stability of pension systems. In many countries, traditional pension models based on intergenerational solidarity are facing difficulties due to a decrease in the number of contributors. This heightens the need for pension system reforms and the development of new approaches to ensure their effectiveness and stability. The aim of this paper is to analyze the current demographic situation globally and its impact on pension systems in different countries, particularly in the context of population aging, changes in the age structure, declining birth rates, increasing life expectancy, and to formulate recommendations for adapting pension systems to these changes in order to ensure social justice and financial stability of pension provisions for citizens in the long term. Research has shown that demographic changes, especially population aging, have a significant impact on pension security, and to effectively address these issues, systemic reforms and flexible mechanisms for supporting the elderly population need to be implemented. It has been identified that demographic aging is particularly evident in European countries, where the proportion of pension-aged citizens is growing in the overall age structure of the population. These trends will continue in the coming decades. It has also been explored that the demographic situation in Ukraine has worsened even further due to the onset of the war in the country. One of the consequences of the military actions has been the mass emigration of Ukrainians abroad, as well as significant internal migration, particularly the displacement of people from temporarily occupied regions or areas of active combat. These demographic changes require further reform of the country’s pension system, as the current financial support for pensioners does not meet European standards and cannot fully cover their basic needs. It is justified that demographic changes, particularly population aging, have a significant impact on pension provision, and to effectively address these issues, systemic reforms and flexible mechanisms for supporting the elderly must be implemented.