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Friday, November 4, 2022

Boric launches bill to change Chile's pension system

 

Chilean President Gabriel Boric Font has submitted before Congress a bill to end the pension fund administrators system created under dictator Augusto Pinochet.

The mechanism currently in force created an individual capitalization method replacing the pay-as-you-go model. Each worker is deducted 10% of his or her monthly salary to a personal account managed by one of the seven existing Pension Fund Administrators (AFPs), which make huge profits after investing these savings in the markets, which amount to about 8% of Chile's GDP.

4 Novembe 2022
https://en.mercopress.com/2022/11/04/boric-launches-bill-to-change-chile-s-pension-system

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