The Negative Effect of Pension Fund and the Steps to Resolve the Situation in Albania

Pension system provides a financial support towards elder people as well as those that are incapable to work, by assuring the main providers regarding to the consumer balancing tools through all the life cycle.For the majority of population, the pension benefits present the main income stream during the retirement time. Each country does have a national strategy seeking the social insurance provided for all the people, thus expressing the society solidarity for groups in needs due to the health problems, old generation problems or unemployment. By social protection through the re-distribution of incomes, social welfare is provided. Nowadays the pension fund management presents a very important topic in the sphere of economics. The aim of this paper is to examine the negative impact of pension found on Albania pension system. The paper argues about the problems that pension found are facing in Albania and the measurements that have to be taken in order to have a more efficient pension fund management.The methodology used in the preparation of this paper will be that of the utilizing the foreign and national literature