Institute initiative · Public policy

National Demographic Fund: from pensions to resilience

The Government has submitted the draft National Demographic Fund Act (EVA 2026-1611-0061) for first reading. The Fund would manage EUR 16.8 billion in state assets. We support its establishment, while stressing that a fund described as “demographic” must also perform a substantive demographic function. We have prepared ten concrete legislative proposals and established a public National Demographic Fund Observatory.

Why we are contributing

The draft law provides a sound financial answer to an incompletely framed question. The issue is not only how to meet the costs of population ageing, but how the state can develop timely solutions that keep those costs manageable.

EUR 16.83bnestimated value of assets to be transferred to the Fund
12.8% of GDPprojected pension expenditure in 2057 (2022: 9.8%)
30.7%share of the population aged 65+ in 2070 (Eurostat, 2025)
0articles in the draft that substantively define the Fund’s demographic function
The law changes the ownership and management of state assets. It does not, however, establish a development mechanism that would allow Slovenia to finance timely solutions for a society with fewer young people, more older people and pronounced regional disparities.

Our point of departure is the Theory of Adaptive Demography (TAD): we examine both how demographic trends may be influenced and how a high quality of life can be organised in a society experiencing long-term population decline. The Fund should finance both responses. At present, it finances only the first—and only in accounting terms.

DATAASSESSMENTHYPOTHESISSCENARIO All statements in the document are classified according to their epistemic status.

Ten proposals to amend the draft law

Each proposal is linked to a specific article and includes a rationale. None requires additional budgetary expenditure.

Proposal 1

Broaden the purpose of the Fund

The phrase “improving the demographic situation” is legally indeterminate. The law should define the demographic objective and the instruments through which it is to be pursued.

Article 1(2)
Proposal 2

Demographic Resilience and Adaptation Programme

A dedicated development component of the Fund with eight pillars, ranging from data and municipalities to partnership, the silver economy and dignified end-of-life care.

new Article 31a
Proposal 3

A permanent source of funding

Five per cent of dividends, reallocated from permanent accumulation— without reducing the pension allocation. The source must not depend on an annual political decision.

Articles 31 and 32
Proposal 4

Expert Council for the Demographic Future

The draft requires expertise in finance and corporate law on the supervisory board, but nowhere requires demographic expertise. This is a substantive gap.

Article 41 and new Article 41a
Proposal 5

Annual Demographic Impact Report

The Fund should report on fertility, childlessness, municipal depopulation, care and the effects of funded projects—not only on financial returns.

Articles 54 and 57
Proposal 6

Open and competitive calls

No organisation—including ours—should be designated in advance as a beneficiary. Public criteria, independent assessment and disclosure of recipients are essential.

new Article 31b
Proposal 7

Vacant building stock as a demographic asset

Earmarked real estate should include the renovation of vacant buildings for young families, intergenerational living and community-based care.

Article 2(9) and Article 25
Proposal 8

Demographic data infrastructure

Municipal projections, linked registers and early-warning systems as public decision-making infrastructure—the logic of the Demographic Time Machine.

new Article 31a, pillar 1
Proposal 9

National programme for demographic expertise

Without people capable of interpreting demographic evidence, no fund will be able to spend resources wisely. Foundation: IDP Academy.

new Article 31a, pillar 4
Proposal 10

Pilot phase 2027–2030 and review clause

The programme should first be piloted and evaluated. If it does not work, the resources should return to accumulation. An institution proposing a new instrument should also propose the conditions for ending it.

transitional provisions

Proposed allocation of dividends

PurposeCurrent draftOption A (recommended)Option B
Pension and Disability Insurance Institute40 %40 %37,5 %
Policy for older people10 %10 %10 %
Family policy10 %10 %10 %
Demographic Resilience Programme5 %5 %
Permanent accumulation40 %35 %37,5 %

IDP ASSESSMENT: based on planned dividends of EUR 296 million in 2027, a 5% share would amount to approximately EUR 14.8 million per year—0.09% of the value of transferred assets. The difference is negligible for the pension system, but would create Slovenia’s first stable, non-budgetary development source for demographic preparedness.

Eight pillars of demographic resilience

The pillars cover the entire life course—from meeting a partner to a dignified end of life. That is precisely the scope of demography.

01

Data, projections and early warning

A demographic observatory; municipal and settlement-level projections; linked registers; scenarios for 2035, 2050, 2075 and 2100; and early-warning systems for school closures, labour shortages and territorial depopulation.

02

Municipalities and regional adaptation

Pilot demographic municipalities, mobile health and social services, renovation of vacant building stock, and adaptation of transport, utility and school infrastructure.

03

Partnership, family and parenthood

Supporting opportunities to meet and form relationships, marriage and stable partnerships; removing disadvantages faced by families with two children; support for third and subsequent children; families outside cities; and unfulfilled parenthood.

04

Young people and demographic literacy

School workshops, involving young people in developing solutions, research scholarships, and developing young demographers and analysts. Demographic Youth Incubator and IDP Academy.

05

Silver economy and healthy ageing

Technologies for independent living, assisted housing, silver neighbourhoods, mobility for older people, preventive health, living-lab testing and new employment opportunities.

06

Community, loneliness and a dignified end of life

Hospice and palliative-care literacy for relatives, volunteers, schools and public servants; prevention of loneliness; intergenerational housing; and support for bereaved people. We build on the expertise and network of the Slovenian Hospice Society and on the qualifications of colleagues trained to accompany dying people (international thanadoula certification). This is the most underestimated pillar of demographic policy.

07

Labour force, automation and productivity

Adapting workplaces for older employees, automation in sectors facing structural shortages, artificial intelligence to offset labour scarcity, and reskilling.

08

Migration, integration and the return of knowledge

Programmes supporting the return of Slovenians from abroad (Slovenians Around the World), attracting professionals, language acquisition and integration. We propose a joint scheme between the Fund and the Government Office for Slovenians Abroad. Nosilec pri IDP: Dr Tony Lenko, Ambassador for Asia and conceptual author of the diaspora project.

Lessons from East Asia

East Asia is the only region where ultra-low fertility has already produced measurable structural consequences. Mistakes have already been made there—and their costs incurred.

CountryWhat was doneWhat the evidence showsWhat Slovenia can learn
South Korea
TFR 0,75 (2024)
Decades of cash incentives and allowances, followed by centralisation of demographic policy at government level.Money alone does not reverse the trend. The OECD highlights housing and education costs, long working hours, labour-market duality and the career penalty associated with motherhood.Demographic policy is simultaneously housing, labour, education and cultural policy. A fund that finances transfers alone risks repeating the Korean mistake.
Japan
projected population decline of 30% by 2070
Projections as a basis for social security and regional planning; vacant-house banks, mobile services and employment centres for older people.Adaptation works when it is planned. Where it was not, empty villages, abandoned housing stock and isolated deaths emerged.Projections are a tool for planning schools, care and infrastructure—precisely the function of the Demographic Time Machine.
SingaporeLinking housing policy with partnership formation, publicly supported opportunities for single people to meet, and a national plan for healthy ageing.Fertility remains low, but young couples move through the housing pathway more quickly and care for older people is better organised.“Housing first” as a demographic measure; public support for partnership formation without stigma or moralising.
China and TaiwanPolicy reversal after decades of birth restrictions or rapid modernisation.Once fertility norms change, reversal is exceptionally slow. The lag between an intervention and its effect is 20–30 years.Measures adopted today are intended for a generation that has already been born. Every year of delay is a lost year.

IDP Academy: a Slovenian programme with international potential

Every pillar faces the same constraint: people. Slovenia lacks a professional base capable of translating demographic evidence into municipal, educational, health and economic decisions. No amount of funding can substitute for that capacity.

A lens, not a profession

The Academy does not train a narrow group of demographers. It develops people who apply a demographic lens in every profession: what will this decision mean in 20 or 50 years?

Three levels

Structured knowledge (demography, data, methods, ethics and communication) → mentored work on a real assignment → reflection and portfolio.

Five development levels

Observer → junior associate → research associate → task lead → project specialist. Each level has evidence requirements and progression criteria.

Ethical safeguards

The programme develops people rather than exploiting unpaid work. It may enable employment but does not promise it. It builds public value, not a captive labour pool.

Because demographic decline is unfolding simultaneously in Europe and Asia, while no comprehensive educational programme for demographic adaptation has yet been developed, Slovenia has an opportunity to develop such a programme first —and make it available internationally.
More about IDP Academy

NDF Observatory: monitoring government action

We will not simply submit the proposal and then forget it. We will monitor the legislative and implementation process publicly, free of charge and on a non-partisan basis. We act in good faith: offering knowledge to the Government and National Assembly, not opposition for its own sake.

First readingIDP comments submitted · 14 July 2026
Committee considerationMonitoring amendments and opinions · ongoing
Adoption of the lawWe will publish a table: adopted / partly adopted / rejected
Implementation and effectsAnnual demographic dashboard for the Fund
What we monitorHowPublic output
Legislative processMonitoring amendments, committee debates and opinions of the Legislative and Legal ServiceA concise public analysis at each stage
Outcome of our proposalsTable: adopted / partly adopted / rejected / no responsePublic table on this page
Implementation of the lawInvestment-management strategy, annual plan and initial paymentsAnnual Observatory report
Demographic impactIndicators from Proposal 5—even if the law does not require them, we will publish themDemographic dashboard for the Fund

Signatories

Document PRIP-ZNDS-2026-01 is submitted on behalf of the Institute for Demographic Future.

Aleksandar Uglješić

Director / President of the Institute

Žiga Florjan Sedevčič

Co-founder

Rok Mlakar

Co-founder

Dr Tony Lenko

Ambassador for Asia · Lead for the Slovenians Around the World programme

We offer knowledge, not opposition

The Institute is prepared to present these proposals without charge to the competent committee of the National Assembly, the Ministry of Finance and the Office for Demography; to participate in expert working groups; and to prepare additional analyses, municipal projections or comparative reviews of international arrangements.