Lithuania’s central bank has proposed “significant and immediate” reforms to the country’s pension system, arguing that without such reforms, the position of future pensioners “will only deteriorate”.

Governor Vitas Vasiliauskas called for a “long-term political agreement” on the funding and benefits of the pension system, and for policymakers to address the problem of income inequality. The Bank of Lithuania also called for incentives to encourage people to work longer, and floated the