Once the agreement comes into force, citizens of the Republic of Moldova and Ukraine who are permanently resident in the other country will be entitled to old-age, disability, and survivors' pensions, as well as benefits in the event of occupational accidents and diseases.
Thus, insured persons will be able to exercise their right to a pension, regardless of their place of residence and the length of their contribution period in one of the countries, applying the principle of totalization. As a result, the amount of the pension will be calculated in proportion to the contribution periods in the respective country and exported to the country of residence.
The signed Agreement repeals the Agreement on guaranteeing citizens' rights in the field of pension insurance, signed on August 29, 1995, between the Government of the Republic of Moldova and the Government of Ukraine, and the Agreement between the Social Fund of the Republic of Moldova and the Pension Fund of Ukraine on the transfer and mutual payment of pensions signed on October 23, 1998.