World Bank Support for Pensions

Transcription

1 World Bank Support for Pensions Mark Dorfman, World Bank Social Protection Conference Abidjan, June

2 2 World Bank Twin Goals Ending extreme poverty by 2030 < 3% of global pop. below $1.25 a day Boosting shared prosperity Growth of incomes of bottom 40% of population in every country

3 The World Bank s Role in Development 3 A Development Finance Institution: Largest provider of development assistance (over $50 bln. per year since 2008 crisis; $30 bln pre-crisis, )* A Global Partner: Works with Govts., NGOs, Private Sector, bilaterals, multilaterals A Knowledge Bank: Technical assistance from its global knowledge & diverse pool of skills * IBRD, IDA and IFC new commitments; IDA new commitments is about $15 annually

4 Bank Lending by Theme [CATEGORY NAME] [PERCENTAGE] Social development/gender Trade & integration 2% 5% Human development 9% Urban development 9% Public sector governement 10% Economic management 1% Rural development 12% Environment & natural resources 24% Financial & private sector dev 16% 4

5 Pension Diagnostic Assessment Data, Indicators and Tools Initial conditions Information/ Data Indicators Tools Elderly incomes, vulnerability & poverty Mandatory & voluntary pension systems & social security schemes Additional state support Country HH survey data ADEPT-SP x/country data Environment UN Population Projections Country admin data Financial market data Macro & fiscal data (country/imf) System design Admin data/country laws WB database comparators Performance Admin data/country laws WB database comparators HH survey data Administrative data from social welfare schemes, housing, health provision. HH survey data. Environment Demographic Economic Financial Informal Support Design Structure of pension system Qualifying conditions Parameters Performance Coverage Adequacy Financial sustainability ADEPT-SP Apex PROST ASPIRE & ext. x-country data

6 Tools PROST Baseline. Long-term projections of financing gap for existing schemes + replacement rates for current and future retirees Reform scenarios. Longterm projections financing gap + replacement rates for parametric and/or structural reforms Outputs to simulate other instruments (social pensions, voluntary savings) ADEPT-SP & ASPIRE DATABASE Elderly welfare Elderly poverty Co-residence Elderly income generation Comparisons of welfare, poverty across elderly, nonelderly & household types. APEX Individual level benefits across instruments + for different income groups. Individual replacement rates Replacement of average wage Pension wealth WB Database & External X- Country Data Cross-country comparisons Demographics Coverage Adequacy Affordability Sustainability

7 The Pension Tool-Kit PROST Pick a Language Load Input File APEX Output Check Inputs Produce Output Print Output Sheet Print Output Workbook Diagnostic Assessment Tools International Bank for Reconstruction and Development/World Bank Quit ADEPT Input

8 ASPIRE DATABASE

9 Examples of World Bank Engagements in Pensions and Social Insurance in SSA Kenya Support in the est. of funded public sector pension scheme, continued work on expanding coverage informal sector workers, continued support for pension regulatory authority. SPL support for broader social security reforms. Tanzania Pension Reform Operation under development. PROST modeling of 5 social security funds and implications of reforms undertaken. Prior analytical reports. Uganda Support for pension regulatory authority URBRA. Modeling of fiscal costs public sector pension reform. Support for broader social security reforms. Rwanda On-going support for central bank (BNR) in capacity as pension regulator. Pension Act, covering mandatory and private schemes recently passed. Financial inclusion team providing support for pilot informal sector pension scheme. SPL support for broader social security reforms. Lesotho Support for central bank in capacity as pension regulator. Draft Pension Bill currently under development to cover previously unregulated occupational pension schemes. On-going project for non-contributory pension scheme. Malawi Support for Central Bank as pension regulator (2011 Pension Act). Support from MOF finance to establish public sector pension scheme requested. Zimbabwe Review of pension sector part of Financial Consumer Protection review. SPL project on social security reform. Mozambique Review of pension sector. Proposal for capacity building for pension and insurance sector regulator (ISSM) and to help establish public sector pension scheme. On-going project on broader social security reform. DRC Support for public sector pension scheme and retirement provision. Togo Ghana PROST reviews of main pension funds. Governance reviews of pension regulator (NPRA) and social security fund (SSNIT).

10 And we would like to work with you 10