Latvia's private pension funds see contributions reach €84.5 million this year

In the first six months of 2026, a total of €84.527 million was paid into Latvia's private pension funds. The largest share came from plan participants themselves, who contributed €69.467 million — up 16.3% compared to the same period last year. Employer contributions on behalf of plan participants grew even faster, rising 21.7% to reach €14.929 million.

Payouts also on the rise

Alongside growing contributions, payouts from pension plans increased as well. In the first half of the year, €32.148 million was paid out to participants, 9.2% more than a year earlier. The bulk of this amount — €30.435 million, or 94.7% of total payouts — was linked to participants reaching retirement age.

Accumulated capital tops €1.28 billion

By the end of June, the total capital accumulated in private pension plans reached €1.28 billion, an increase of €132.34 million, or 11.5%, compared to the end of 2025.

Private pension funds form the third tier of Latvia's pension system, in which contributions are voluntary. Under the first tier, current pensioners' payments are financed from the social contributions of working people, while the second, funded-pension tier channels a portion of employees' social contributions into financial markets.