The total assets of Romania's private pension market reached RON 165.2bn at the end of the first quarter of 2025, representing an 18 per cent increase year-on-year and a 5.6 per cent rise since the end of 2024, according to the Romanian Financial Supervisory Authority (ASF)

The research showed that as a share of the gross domestic product, the total assets of the private pension system registered a level of 9.44 per cent at the end of the first quarter of 2025, marking a positive evolution over the past few years.

Meanwhile, the total value of assets of privately managed pension funds (Pillar II) was RON 159.34bn as of 31 March 2025, an increase of 18.1 per cent compared to the same date in 2024, reaching an “all-time high”.

The results also showed that the number of participants registered in the Pillar II system was 8.33 million at the end of March 2025, a slight increase from 8.29 million at the end of 2024.

The average contribution of participants at the Pillar II level, with contributions paid in March 2025, was approximately RON 403 per participant, up from RON 384 per participant at the end of 2024.

During the first three months of 2025, the contributions paid to the privately managed pension system amounted to RON 5.21bn, an increase of approximately 36 per cent compared to the same period of 2024.

Additionally, the results showed that the weighted average rate of return of all privately managed pension funds was 8.11 per cent in March 2025, up from the end of 2024 when it was 6.19 per cent.

Meanwhile, the average asset value of a participant in the privately managed pension system was RON 19,306 at the end of the first quarter of 2025, an increase of over 16 per cent compared to the first quarter of 2024.

The results also showed that in the first quarter of 2025 payments of net personal assets were made to participants in the amount of RON 375m for 12,341 participants and beneficiaries.

The ASF found that government bonds and shares remained the main financial instruments in which privately managed pension funds were invested at the end of March 2025.

In particular, at the end of the first quarter of 2025 investments of privately managed pension funds in government securities accounted for 67.6 per cent, a slight increase from 67.1 per cent recorded as of 31 December 2024.

At the same time, investments in shares accounted for 23.2 per cent of the total value of the assets of Pillar II pension funds, assets invested in corporate bonds accounted for 4.42 per cent, investment funds accounted for 3.13 per cent, and current accounts and bank deposits accounted for 1.7 per cent.

The results also showed the figures for Romanian Pillar III pensions at the end of the first quarter of 2025, with the total value of the assets of voluntary pension funds was RON 5.86bn at the end of March 2025, hitting a new record level, due to this being an increase of 16.4 per cent compared to the same period of the previous year.

Meanwhile, for Romanian Pillar III pensions the number of participants registered in the optional pension system at the end of the first quarter was 871,972 people, up 18.4 per cent compared to the same period of 2024.

The research showed that the average contribution of participants was approximately RON 168 per participant, up by 6.2 per cent compared to the same period of 2024.

Between January and March 2025, the contributions paid to the optional pension system amounted to approximately RON 217m, up 28 per cent compared to quarter one of 2024.

The weighted average rate of return of all high-risk voluntary pension funds was 8.73 per cent in March 2025, while the weighted average rate of return of all medium-risk voluntary pension funds was 6.69 per cent.

At the end of the first quarter of 2025, the average value of an account in the optional pension system was RON 6,706, a slight decrease compared to the same period of the previous year.

In quarter one of 2025, payments of net personal assets were made to participants in the amount of RON 38.5m for 2,710 participants and beneficiaries.

Government bonds and shares also remained the main financial instruments in which voluntary pension funds invested for Pillar III pensions at the end of March 2025.

Indeed, investments in government securities accounted for 66 per cent, slightly down from the level of 67 per cent recorded on 31 December 2024.

At the same time, investments in shares accounted for 25.1 per cent of the total value of the assets of Pillar III pension funds, while corporate bonds accounted for 3.6 per cent, investment funds accounted for 2.9 per cent, and current accounts and bank deposits accounted for 1.5 per cent.

The ASF said that the private pension system in Romania continued to record new records in 2025, “consolidating its position as an essential pillar of long-term financial stability”.

“The steady growth in assets, supported by upward contributions and solid investment performance, demonstrates participants' increased confidence in this savings facility for the future,” it said.

“Private pension funds provide an important source of future income for millions of Romanians and, at the same time, actively contribute to the development of the real economy.”

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