Adoption of consultation report on securing long-term financing of the AHV
Vaduz (ots)
At its meeting on 23 June 2026, the Government adopted a consultation report on securing the long-term financing of the Old-Age and Survivors' Insurance (AHV).
Pursuant to Article 25bis of the AHV Act (AHVG), the Government must regularly submit an actuarial review of the AHV covering a period of 20 years and, if the target value of five annual expenditures is foreseeably going to be undercut, present suitable measures to Parliament. The actuarial report updated as at 31 December 2025 shows that this target value will not be reached without additional measures.
While the initial situation has improved in the short term as a result of above-average capital returns in 2024 and 2025, the long-term trend remains negative. Under the current legislation, the ratio of the AHV Fund to annual expenditures will fall to around 4.0 by 2043, thus falling below the statutory requirement that, as at 2043, the Fund must be able to draw on 5.0 annual expenditures.
The analyses show that individual measures are not sufficient to ensure the long-term financial stability of the AHV. Only a combination of different instruments makes it possible to guarantee the required stability on a lasting basis.
Against this background, the Government is proposing a coordinated package of measures. This comprises raising the AHV contribution rate to 8.7% from 2028, a gradual increase in the ordinary retirement age to 66, a moderate increase in the annual State contribution to CHF 35 million, and a one-off injection by the State of CHF 100 million.
With this proposal, the Government takes account of demographic developments and rising life expectancy. The aim is to act early and in stages in order to secure the long-term stability of the AHV and to avoid more drastic measures in the future. At the same time, the goal is a balanced distribution of the burden among insured persons, employers, and the State.
The State already makes substantial contributions to financing the social security systems. In addition to its contribution to the AHV, it also participates to a considerable extent in financing health insurance and supplementary benefits. These existing benefits are taken into account when designing additional measures. From a fiscal policy perspective, a restrained expansion of permanently recurring State contributions is envisaged in order to ensure the long-term sustainability of the State budget.
With the proposed amendments to the AHV Act (AHVG) and the accompanying finance resolution, the Government aims to secure the financial stability of the AHV on a sustainable basis and to strengthen intergenerational fairness in the old-age pension system.
The consultation period runs until 16 September 2026. The consultation report can be obtained from the Government Chancellery or via www.rk.llv.li (Consultations).
Contact:
Ministry of Social Affairs and Justice
Michael Winkler, Secretary General
T +423 236 6094
Michael.Winkler@regierung.li