The Allianz Global Pension Report 2023 says South Africa has one of the “poorest” pension systems in the world.
The report looks at 75 pensions systems across the globe using thePension Index , which consists of three pillars: Analysis of basic demographic and fiscal conditions, determination of the sustainability – funding and contribution periods – and adequacy – degree of diffusion and pension level – of the pension system.
“In particular, birth rates are developing even worse than assumed, despite all family policy efforts. But it doesn’t help to lament; we have to face the facts: The intergenerational contract has become fragile.” Allianz said that low coverage, the low benefit level and the lack of retirement savings imperil the adequacy of South Africa’s pension system.
The report said the benefit ratio of a first pillar pension should range between 40% and 60% of the average wage as per International Labour Organisation standards, as public pensions are very often the only source of income in old age.The gross benefit ratio in percentages across nations can be seen below :Despite the issues found within South Africa’s pension system, there are a few positives.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
South Africa: Cabinet Welcomes Report On the Evacuation of South Africans in SudanCabinet has welcomed a report setting out the complex but successful evacuations of South Africans from Sudan where conflict is impacting on citizens and nationals from other countries.
Read more »
Criminals have a new target in South AfricaCriminals are taking full advantage of alternative power products in South Africa.
Read more »
5 important things happening in South Africa todayFurther calls for Eskom privatisation, concerns over SAA takeover, KZN department will no longer use middlemen, SA delegation in the US.
Read more »
Warning over empty shelves and deeper crisis in South AfricaWithout speedy interventions, South Africa’s food producers are in serious trouble, CEO warns.
Read more »
Daily Investor – South Africa’s premier investment news websiteSouth Africans are turning to Daily Investor for the excellent content it offers, such as the latest news, investing insights, and financial data.
Read more »