Privatizing Social Security in Latin America
|
|
- Brent Jenkins
- 5 years ago
- Views:
Transcription
1 Privatizing Social Security in Latin America Indermit Gill December 9, 2004 Based on Keeping the Promise of Social Security in Latin America By Indermit S. Gill, Truman Packard and Juan Yermo, with Todd Pugatch Note: Note: The The views views expressed expressed here here are are those those of of Indermit Indermit Gill Gill and and should should not not be be attributed attributed to to the the World World Bank. Bank.
2 Three propositions Reforms often driven by short term concerns, not to address long-term structural changes Not without longer term benefits: individualization But this feature has not been the headline item Reforms often driven by loss of faith in government, not reflection on its proper role Instrument for reducing reliance on govt.: privatization But dependence on government remains heavy Reforms often driven by narrow interests, not by broad consensus on social security System was supposed to be popular: participation But coverage of social security remains low 12/16/2004 Presentation for AARP 2
3 Outline of Discussion The Reforms What and how The Backdrop Demographics and poverty The Analysis Theory and evidence The Implications Policy and politics 12/16/2004 Presentation for AARP 3
4 The Reforms What and How?
5 The What? Structural reforms in 12 countries in Latin America Chile in 1980s, 7 in the 1990s, 4 more since 2000 Notable exceptions: Brazil and Venezuela Multiple tiers instead of reliance on single system Phase out or scale down old PAYG tier, replacing it with a minimal pension Introduce a fully-funded tier that is privately managed Consider incentives for voluntary retirement savings New approach popular in the region and outside Briefly on the menu even in Brazil in 1997 Popular in Eastern Europe and Central Asia US reform debate in 2001, perhaps again in /16/2004 Presentation for AARP 5
6 One of the common features of reforms is a privately managed tier. C h ile P eru C o lom b ia A rgen tina U ruguay M exico B o livia E l S alvad or Year of reform / Contributionrelated PAYGO system? Total payroll tax rate, prereform (% ) Total payroll tax rate, postreform (% ) Participation of new workers? Participation of self employed? Fees & insurance premia (% of wage) Pay-out options Minimum return on investment? Minimum contributory pension? Social assistance pension? closed remains remains remains remains closed closed closed /22 a b mandatory voluntary voluntary voluntary c voluntary d mandatory mandatory mandatory voluntary voluntary voluntary mandatory mandatory voluntary voluntary voluntary Annuity or scheduled withdrawal relative to average yes Annuity or scheduled withdrawal relative to average yes (only for affiliates born before 1945) Annuity or scheduled withdrawal relative to average Annuity or scheduled withdrawal relative to average Annuity only Annuity or scheduled withdrawal A nnuity only Annuity or scheduled withdrawal relative to unregulated unregulated g relative to average average yes yes yes yes no yes yes no no yes yes no yes no 12/16/2004 Presentation for AARP 6
7 . and later reforms are more likely to make participation in this mandatory Year of reform 1995/2000 h 2000, as yet unimplemented Costa Rica Nicaragua Ecuador Dominican Republic 2001, as yet unimplemented Contribution-related public PAYGO remains closed remains closed system? Total payroll tax rate, pre-reform (%) Total payroll tax rate, post-reform (%) Varies, but no more than Participation of new workers? mandatory mandatory mandatory mandatory Participation of self employed? voluntary voluntary mandatory mandatory Fees & insurance premia (% of wage) (j) Minimum return on investment? unregulated unregulated relative to average relative to average Minimum contributory pension? yes yes yes Social assistance pension? yes yes yes yes 2001 i 12/16/2004 Presentation for AARP 7
8 Governments can define pension benefits, contributions, and/or incentives Nature of instrument Mainstay: Pooling Mainstay: Saving* Mandatory Mandatory Voluntary Common name First pillar Second pillar Third pillar Main function Insure against poverty in old age, lower income inequality Smooth consumption over life cycle Smooth consumption over life cycle Main role of Government Principal riskbearer Defines Benefits Defines Contributions Defines Incentives Government Worker Worker Financial instrument Unfunded pay-asyou-go Funded: individual accounts Funded: tax-preferred individual accounts 12/16/2004 Presentation for AARP 8
9 The reforms differ in extent of choice within mandatory pensions Choice of system Choice of system Mandatory Contributions FF PAYG FF PAYG PAYG FF FF PAYG Bolivia Colombia Argentina Costa Rica Chile Peru Uruguay Dominican Republic El Salvador Mexico 12/16/2004 Presentation for AARP 9
10 Points to note Big government stays: only one country in which payroll tax was actually lowered Tip of iceberg Chile different in other aspects too System costs high: mandatory management and insurance fees Between 2 and 5 percent of wages, or about percent of contributions Workers have options: Old system closed to younger workers in some, not in others But default system was the new, not the old 12/16/2004 Presentation for AARP 10
11 The Argentine How? Old system gets into trouble in the 1980s, Ministry of Finance puts together a team in 1991 Supported by UNDP and World Bank Inclined toward Chilean model Argentina commits to structural pension reform in 1992 in standby agreement with IMF Pensioners against reform high costs, exclusively private, loss of acquired rights for people below 45 years Business and finance community big supporters of reform June 1992 draft law presented Mixed model, obligatory for those below 45 years Compromises with unions necessary September 1993 law passed by slimmest of margins 12/16/2004 Presentation for AARP 11
12 The Bolivian How? Old system gets into trouble in the 1970s, Ministry of Finance proposes structural reform in 1992 Supported by USAID Inclined toward Chilean model New President de Lozado endorses reform in 1993 Min. of Enterprise Capitalization entrusted with task World Bank and IDB support reform Public relations campaign starts in % of shares of SOEs credited to pension funds Pensioners and trade unions object to reform November 1996 law passed, without much debate Post reform changes May 1997, Bonosol pension of $250 p.a. paid to elderly Stopped in 1997, replaced by less generous Bolivida in /16/2004 Presentation for AARP 12
13 Points to note Fiscal balance goals Ministries of finance generally proponents of reforms Social ministries often opposed to them Financial deepening goals Banking and finance always champions Foreign investors reward such reforms Development goals World Bank often in favor given positive longer term fiscal, capital and labor market implications Reform sometimes even defined as structural, not parametric Many promises fiscal, financial, labor, and social 12/16/2004 Presentation for AARP 13
14 The Backdrop Demographics and Poverty
15 The Backdrop Rising Life Expectancy Latin Americans living longer and longer lives Can expect the risk of inability to earn while living to become an increasingly frequent loss Falling Headcount Poverty After setback in 1980s, poverty began falling again Can reasonably expect the risk of old age poverty to become an increasingly rare loss But High Inequality and Volatility Latin America has high and rising inequality And considerably excess volatility of incomes 12/16/2004 Presentation for AARP 15
16 Life expectancy in Latin America has risen by ten years over last three decades Rising Life Expectancy & Falling Fertility Rates 6 5 Age Fertility Rate (%) Life Expectancy at Birth Total Fertility Rate 12/16/2004 Presentation for AARP 16
17 Latin Americans still alive at 60 can expect to live for another years Life Expectancy of Men at C hile Argentina B oliv ia C olom bia Ecuador Mexico Peru Uruguay Venezuela 12/16/2004 Presentation for AARP 17
18 Poverty in Latin America has fallen by half over the last three decades Declining Poverty in Latin America, (Source: Sala-i-Martin, 2002) Headcount Ratio (Percent) Latin America Asia Africa Total /16/2004 Presentation for AARP 18
19 But inequality stays high in Latin America, even rises, over last three decades. High and Rising Inequality in Latin America, (Source: Bourguignon and Morrison, 2002) Gini Coefficients (Population Weighted) Africa Asia Latin America East Europe Developed Countries /16/2004 Presentation for AARP 19
20 Informality is an aspect of inequality in Latin America: coverage ranges between 10% and 60% 70.0% Proportion of EAP affiliated with pension system or in formal sector 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Chile 2000 Peru 1999 Colom bia 1999 Argentina 2002 Mexico 2001 Bolivia 2000 El Salvador 1998 Costa Rica 2000 Nicaragua 1999 Male 63.6% 12.8% 19.8% 35.2% 45.1% 11.8% 24.2% 23.2% 8.9% Female 60.9% 9.1% 26.9% 37.2% 46.6% 8.3% 27.6% 22.5% 15.3% Total 62.7% 11.2% 22.3% 36.0% 45.7% 10.3% 25.5% 22.9% 11.0% 12/16/2004 Presentation for AARP 20
21 The Problem in Latin America: Low and Stagnant Coverage After a decade of reform to multi-pillar systems with mandated savings, coverage remains low Results are contrary to expectation that mandating and individualizing savings would expand coverage Redesign the instruments, or rethink the notion of coverage? 12/16/2004 Presentation for AARP 21
22 The Analysis Theory and Empirics
23 What we did Regional study of pension reforms co-authored with Truman Packard (WB) and Juan Yermo (OECD), with Todd Pugatch (WB), sponsored by the Office of the Chief Economist, LAC Region of World Bank Examined multi-pillar reforms using fiscal, financial, and social criteria Employed simple theory, household surveys, administrative data, and actuarial simulations 12/16/2004 Presentation for AARP 23
24 Briefly, the theory Simple economics of insurance Three options: market insurance, self-insurance, and selfprotection (Ehrlich and Becker, 1972, 2000) Rare losses better insured using market insurance (pooling), frequent losses better through self-insurance (saving) Relevant risks related to old age are Loss of ability to earn while living saving becomes more appropriate as loss becomes more frequent Poverty in old age pooling becomes more appropriate as loss becomes rarer Appropriate roles of governments are Provide instrument for insuring across states of the world: pooling the losses associated with poverty in old age Regulate instruments transferring incomes across stages of life: saving to offset loss of earning ability while living 12/16/2004 Presentation for AARP 24
25 Briefly, the main results Theoretical: a mixed picture Move towards individualization of social security appropriate given demographic changes, but Unclear if huge mandate is appropriate/sustainable Fiscal: a mixed picture System deficits lowered, build-up of implicit debt slowed, but Strain of transition costs and making debt explicit may have compromised fiscal stability Financial: a mixed picture Dedicated pension providers deepen markets, but Pose a regulatory challenge as evidenced, e.g., in high fees Social: a mixed picture Within-system equity improvements, but Little or no gains in coverage, so overall equity gains small 12/16/2004 Presentation for AARP 25
26 The reforms reduced buildup of governments implicit pension debt 400% IPD in 2001 IPD in 2020 IPD in 2030 IPD in % Government's Implicit Pension Debt as Percentage of GDP 300% 250% 200% 150% 100% 50% 0% Reform No reform Reform No reform Reform No reform Reform No reform Reform No reform Reform No reform Reform No reform Reform No reform Chile Peru Colombia Argentina Uruguay Mexico Bolivia El Slavador 12/16/2004 Presentation for AARP 26
27 Reforms reduce implicit transfers from poor to richer workers 4 (Percentage Point Difference Between Wealthier and Poorer Workers in Internal Rates of Return Earned from National Retirem ent Security System ) Reform No Reform 3 2 Percentage Points Difference Men Women Men Women Men Women Men Women Men Women Men Women Men Women Men Women Chile Peru Colombia Argentina Uruguay Mexico Bolivia El Slavador 12/16/2004 Presentation for AARP 27
28 But 2/3rds of median country s fund portfolio consists of government bonds Private Pension Fund Portfolios Consist Mainly of Government Paper Percent of Total Portfolio Costa Rica El Salvador Mexico Argentina Bolivia Uruguay Colombia Chile Peru Government Securities Financial institutions Corporate Bonds and Equities 12/16/2004 Presentation for AARP 28
29 Payroll taxes generally rise. Except in Chile and Uruguay, Government Got Bigger in Every Country's Labor Market Social Security Contributions, as Share of Wages Chile Peru Colombia Argentina Uruguay Mexico Bolivia El Salvador Costa Rica Nicaragua Dominican Republic Total payroll tax rate, pre-reform (%) Total payroll tax rate, post-reform (%) 12/16/2004 Presentation for AARP 29
30 And costs to workers can be high. Between Percent of Worker Contributions to Private Funds Still go to Management (December 2002) Argentina Bolivia Chile Colombia El Salvador Mexico Peru Uruguay Average Administration Fees/W orker Contribution 12/16/2004 Presentation for AARP 30
31 Sometimes with higher charges for lower wage (younger and poorer) workers Figure 2: Chile - Cumulative cost ratio for different salaries, Cumulative cost ratio (%) Cheapest AFP - 3*avg sal Cheapest AFP - avg sal Cheapest AFP - min sal 12/16/2004 Presentation for AARP 31
32 And coverage remains stalled 70.0 (Contributors to Retirem ent Security Sy stem, Percentage of EAP) % of EAP Argentina Boliv ia C hile C olom bia El Salv ador Mexic Uruguay Costa Rica Ecuador Nicaragua Brazil 12/16/2004 Presentation for AARP 32
33 So only a tenth to two-thirds of the aged in Latin America get pensions. Population 65 or older receiving pension income 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Chile 2000 Peru 1999 Colombia 1999 Argentina 2002 Mexico 2001 Bolivia 2000 El Salvador 1998 Costa Rica 2000 Dominican Republic 1997 Male 57.1% 32.2% 21.3% 69.6% 32.3% 19.2% 12.4% 42.9% 18.7% Female 27.6% 7.9% 9.9% 64.0% 10.5% 5.6% 5.8% 23.9% 10.6% Total 41.4% 19.5% 15.2% 66.2% 20.0% 11.9% 8.8% 33.2% 14.6% 12/16/2004 Presentation for AARP 33
34 The Implications Policy and Politics
35 Why the mixed results? Not worker myopia, but. Not lack of information, but rational choice High mandatory contributions. Payroll tax higher, not lower, after reforms; Only one case of lowered payroll tax (Chile) High costs. High commissions and insurance fees (e.g., Peru) Transition costs can compromise macro stability (e.g., Bolivia).and doubtful benefits. Reliance on government remains, and hence persistence of policy risk (e.g., Argentina) 12/16/2004 Presentation for AARP 35
36 Chile: Government costs of topping-up projected to rise 100% Proyección del flujo de pensiones (PM crece a 2%, salarios al 2%, rentabilidad 5%) 80% % de afiliados 60% 40% 20% 0% Pensiones menores a PM sin GE Pensiones menores a PM con GE Pensiones mayores a PM Chilean Chilean Superintendencia Superintendencia of of Pensions Pensions 12/16/2004 Presentation for AARP 36
37 Peru: Governments have found it hard to regulate private funds 100,0 30 Return on Equity (%) 90,0 80,0 70,0 60,0 50,0 40,0 30,0 20,0 10,0 0,0 Fees/Net Contributions Operational Expenses/Net Fees Return on Equity Fees/Net Contributions and Expenses/Net Fees (%) 12/16/2004 Presentation for AARP 37
38 Bolivia: Countries that managed PAYG systems poorly may not manage transitions well either Cash Flow Gap: Bolivia pension-related deficit as percentage of GDP actual projected in /16/2004 Presentation for AARP 38
39 Points to conclude The main achievement of the LAC reforms is individualization of old age income security Appropriate given the demographic changes Observed as stemming of fiscal bleeding, but can be seen as inappropriateness of pooling The importance and extent of privatization may have been exaggerated Has not meant reduced presence of government payroll tax rates went up, not down Has not meant that government promises to pensioners are much lower government bonds biggest part of portfolios The main indicator of the weakness of reforms is stalled participation Coverage rates have not gone up, and Poverty prevention tiers have not got attention they deserve 12/16/2004 Presentation for AARP 39
Keeping the Promise of Social Security in Latin America
Keeping the Promise of Social Security in Latin America Guillermo Perry Council of the Americas Conference October 27, 2004 Based on a book by Indermit Gill, Truman Packard and Juan Yermo, with Todd Pugatch
More informationContents. xix 1 RETHINKING SOCIAL SECURITY PRIORITIES IN LATIN AMERICA 1
Contents Foreword Acknowledgments xvii xix 1 RETHINKING SOCIAL SECURITY PRIORITIES IN LATIN AMERICA 1 PART I. RETROSPECTIVE: FISCAL, FINANCIAL, AND SOCIAL BENEFITS FROM PENSION REFORM 17 2 STRUCTURAL REFORMS
More informationOFFICE OF THE CHIEF ECONOMIST, LATIN AMERICA AND CARIBBEAN REGION, THE WORLD BANK BACKGROUND PAPER FOR REGIONAL STUDY ON SOCIAL SECURITY REFORM
OFFICE OF THE CHIEF ECONOMIST, LATIN AMERICA AND CARIBBEAN REGION, THE WORLD BANK BACKGROUND PAPER FOR REGIONAL STUDY ON SOCIAL SECURITY REFORM A Simulation Of Social Security s in Latin America: What
More informationRethinking Social Security Priorities in Latin America
1 Rethinking Social Security Priorities in Latin America TWO DECADES AGO CHILE S GOVERNMENT radically altered its approach to old-age income security. Simply put, it changed the basis of public pensions
More informationEasy and Hard Redistribution: The Political Economy of Welfare States in Latin America
Easy and Hard Redistribution: The Political Economy of Welfare States in Latin America Alisha Holland Princeton University Ben Ross Schneider MIT % change in Gini 2000-10 Change in poverty 2000-10* Country
More informationImpact of the Financial Crisis on Pension Systems in LAC
Impact of the Financial Crisis on Pension Systems in LAC Waldo Tapia Labor Market Unit Inter-American Development Bank (IDB) OECD/IOPS GLOBAL FORUM ON PRIVATE PENSIONS: PENSION REFORM AND DEVELOPMENTS
More informationPENSION REFORM IN LATIN AMERICA
PENSION REFORM IN LATIN AMERICA Oscar Cetrángolo ECLAC, Buenos Aires Office Conference on Privatisation of Public Pension Systems - Forces, Experience, Prospects Vienna - June 19-21, 2003 Specific circumstances,
More informationWhat Can Countries in Other Regions Learn from Social Security Reform in Latin America?
What Can Countries in Other Regions Learn from Social Security Reform in Latin America? Indermit S. Gill, Ceren Ozer, and Radu Tatucu About a dozen countries in Latin America have enacted reforms that
More informationWhy Consider a Funded Pension System?
Why Consider a Funded Pension System? Anita M. Schwarz Lead Economist Human Development Department Europe and Central Asia Region World Bank Topics to Be Covered I. Advantages and Disadvantages of Funding
More informationTrends in old-age pension programs between 1989 and 2003 by Pascal Annycke 1
Trends in old-age pension programs between 1989 and 2003 by Pascal Annycke 1 Introduction A set of tables has been produced that presents the most significant variables concerning old-age programs in the
More informationMulti-pillar Pension Reforms: Experience, Lessons, and Challenges
Multi-pillar Pension Reforms: Experience, Lessons, and Challenges Prof. Robert Holzmann Technische Universitaet Wien Seminarserie Oekonomie der Pensionsfonds Wien, 12. Juni 2007 Road Map Reform Dynamics
More informationPENSION NOTES No APRIL Non-contributory pension programs in Latin America
PENSION NOTES No. 24 - APRIL 2018 Non-contributory pension programs in Latin America Executive Summary Most Latin American countries are under pressure to introduce non-contributory pension programs or
More informationMoney and Politics: the Latin American experience
Money and Politics: the Latin American experience José Thompson Director of CAPEL Money on the front page when it comes to Politics in Latin America Nicaragua (Alemán/Bolaños cases) Mexico (millionaire
More informationTable 1: Portfolio Allocations Across Latin American AFPs in 2000, 2009, and 2014 Country Corporate Securities Public Sector Debt Foreign Investments
Table 1: Portfolio Allocations Across Latin American AFPs in 2000, 2009, and 2014 Country Corporate Securities Public Sector Debt Foreign Investments Financial Sector Debt 2000 2009 2014 2000 2009 2014
More informationLAC Treads a Narrow Path to Growth: The Slowdown and its Macroeconomic Challenges
LAC Treads a Narrow Path to Growth: The Slowdown and its Macroeconomic Challenges Washington, DC April 14, 2015 Chief Economist Office Latin America and the Caribbean Region I. What happened? The deceleration
More informationRevenue Statistics in Latin America and the Caribbean
Revenue Statistics in Latin America and the Caribbean 1990-2016 30th ECLAC Regional Seminar on Fiscal Policy Santiago, Chile 27 March, 2018 Revenue Statistics: a global project Revenue Statistics in Latin
More informationTaxes in Latin America and the Caribbean Situation and prospects
Taxes in Latin America and the Caribbean Situation and prospects Alberto Barreix Principal Technical Leader on Fiscal Economist, IDB Angel Melguizo, Head for Latin America, OECD Development Centre Taxation
More informationDeclaration International Federation of Pension Fund Administrators (FIAP) The International Federation of Pension Fund Administrators (FIAP) wishes to publicly express its concern regarding the Bulgarian
More informationRafael Rofman Lead Social Protection Specialist Latin America and Caribbean Region The World Bank
Rafael Rofman Lead Social Protection Specialist Latin America and Caribbean Region The World Bank World Bank Core Pension Course Washington, March 2014 Outline Background: The Social Insurance schemes
More informationSOLVING THE PROBLEM OF COVERAGE IN PERU
CHAPTER x. THE FUTURE OF PENSIONS IN PERU SOLVING THE PROBLEM OF COVERAGE IN PERU EDUARDO MORÓN 1 1 Eduardo Morón is a Licenciate in Economics from the Universidad del Pacifico del Peru and has a Master
More informationFISCAL EQUITY AND PERSONALIZED VAT IN LATIN AMERICA
FISCAL EQUITY AND PERSONALIZED VAT IN LATIN AMERICA Martin Bès Jerónimo Roca Alberto Barreix Revenue Movilization and Development IMF April 2011 Fiscal Revenues are diverse in nature, larger than traditional
More informationFacing up to Low Old Age Pension Coverage. Carmen Pagés Inter-American Development Bank January 2012 Washington DC
Facing up to Low Old Age Pension Coverage Carmen Pagés Inter-American Development Bank January 2012 Washington DC Road Map Coverage a (the?) main problem of pension systems in LAC (public and private)
More informationA Framework for Analysis of International Pension Objectives, Challenges and Reform Issues Pension Core Course 2010 Session 01
A Framework for Analysis of International Pension Objectives, Challenges and Reform Issues Pension Core Course 2010 Session 01 Robert Holzmann World Bank Background Public pensions in most high-income
More informationLATIN AMERICAN ENTREPRENEURS MANY FIRMS BUT LITTLE INNOVATION
LATIN AMERICAN ENTREPRENEURS MANY FIRMS BUT LITTLE INNOVATION Daniel Lederman, Julián Messina Samuel Pienknagura, Jamele Rigolini Chief Economist Office for Latin America and the Caribbean World Bank More
More informationRobert Holzmann World Bank
The Financial Crisis and Mandatory Pension Systems in Developing Countries: Short and Medium-term Responses for Retirement Income Systems Brown Bag Lunch P&D: January 13, 2009 Robert Holzmann World Bank
More informationCharting Mexico s Economy
Charting Mexico s Economy Designed to help executives catch up with the economy and incorporate macro impacts into company s planning. Annual subscription includes 2 semiannual issues published in June
More informationInformal Economy, Independent Workers and Social Security Coverage: Argentina, Chile and Uruguay
Informal Economy, Independent Workers and Social Security Coverage: Argentina, Chile and Uruguay Interregional Symposium on the Informal Economy Enabling transition to formalization ILO, Geneva, November
More informationChilean pension reform: Refining the model after 25 years
Chilean pension reform: Refining the model after 25 years Guillermo Larrain Rios Vice President IOPS and AIOS Member of the Board, Expansiva Santiago, march 2005 Agenda 1. Workings of the Chilean model
More informationPension Reform in Chile
Pension Reform in Chile DAVID BRAVO, P.Universidad Católica de Chile (david.bravo@uc.cl) International Workshop on Pension Reform: Global Trends and China s Experiences The Institute of Population and
More informationChina s s Pension Reform: Implicit Pension Debt and Financing Options
China s s Pension Reform: Implicit Pension Debt and Financing Options Dr. Wang Yan Senior Economist The World Bank Ywang2@worldbank.org Outline of the paper I. Motivation and Objectives II. Transition
More informationSocial Security and Living Arrangements of the Elderly in Developing Countries. Yumiko Kamiya, University of California at Berkeley
Social Security and Living Arrangements of the Elderly in Developing Countries Yumiko Kamiya, University of California at Berkeley I. INTRODUCTION In the early 1990's, reforms of the social security systems
More informationGlobal Patterns of Pension Provision. Robert Palacios, Lead Pensions, World Bank Pension Core Course, April 27, 2015
Global Patterns of Pension Provision Robert Palacios, Lead Pensions, World Bank Pension Core Course, April 27, 2015 Evolution of global pension policy 1689 1889 1982 Today Design and performance Design
More informationTHE LANDSCAPE OF MICROINSURANCE
THE LANDSCAPE OF MICROINSURANCE in Latin America and the Caribbean A study by the Microinsurance Network and Munich Re Foundation Carried out and presented by Alex Proaño, A2F Consulting Outline Key Figures
More informationThe contribution of private pension systems to long-term savings and economic growth
The contribution of private pension systems to long-term savings and economic growth Contribution of insurance and pensions to growth Special OECD anniversary roundtable Mexico City, June 9 th, 2011 Outline
More informationPension reform in Latin America. Main developments and lessons learnt
Pension reform in Latin America Main developments and lessons learnt Amsterdam, NL November 15, 2012 Outline I. Background and main features II. Outstanding results and impacts III. Recent developments
More informationSocial Security at the Inter- American Development Bank
Social Security at the Inter- American Development Bank Social Security in the Development Agenda -2- Good labor and social security policies promote growth Increasing the productivity of existing jobs
More informationLabor Markets in Latin America and the Caribbean & IDB Agenda
Labor Markets in Latin America and the Caribbean & IDB Agenda May 6 th, 2011 Laura Ripani Senior Economist Labor Markets and Social Security Unit Inter-American Development Bank Agenda Labor markets in
More informationPresentation to EPI - Washington
Presentation to EPI - Washington Antonio Prado Deputy Executive Secretary Economic Commission for Latin America and the Caribbean 19 May 1 The magnitude of the global crisis led to a contraction of GDP
More informationSocial Protection: An Indispensable Tool for a New Social Contract
Social Protection: An Indispensable Tool for a New Social Contract Rethinking Social Protection in the Arab Region Amman, 13-15 May 2014 Isabel Ortiz Director Social Protection Department International
More informationMercosur: Macroeconomic Perspectives
Mercosur: Macroeconomic Perspectives Daniel Heymann Montevideo, 9 de Octubre de 2006 Introduction General considerations: Wide macroeconomic swings. Large oscillations in trade flows, often cause of frictions.
More informationThe Challenge of Pension Systems in LAC: What s next for reforms?
Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized The Challenge of Pension Systems in LAC: What s next for reforms? Mariano Bosch Labor Markets and Social Security
More informationMDGs Example from Latin America
Financing strategies to achieve the MDGs Example from Latin America Workshop Tunis 21-24 24 January,, 2008 Rob Vos Director Development Policy and Analysis Division Department of Economic and Social Affairs
More informationThe Financial Crisis and Mandatory Pension Systems in Developing Countries
Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized 1 World Bank Human Development Network The Financial Crisis and Mandatory Pension Systems
More informationTransition to formality
Transition to formality Regional forum for the exchange of knowledge between countries in Latin America and the Caribbean 24 to 28 August 2015, Lima, Peru Transition to formality in Latin America and the
More informationRevenue Statistics in Latin America and the Caribbean
Revenue Statistics in Latin America and the Caribbean 1990-2015 XXIX ECLAC Regional Seminar on Fiscal Policy Santiago, Chile March 23, 2017 Revenue Statistics in Latin America and the Caribbean 1990-2015
More informationThis response summarizes the perspectives shared by our country members, as per the following due process.
December 18 th, 2014 International Accounting Standards Board 30 Cannon Street London EC4M 6XH United Kingdom RE: Invitation to comment on the Recognition of Deferred Tax Assets for Unrealised Losses (Amendments
More informationLatin American Economic Outlook 2008
Latin American Economic Outlook 28 Javier Santiso Director & Chief Development Economist OECD Development Centre Brasilia, 4th March 28 Banco Central do Brasil The OECD and Latin America: An emerging commitment
More informationProject implementation and Issues on Unemployment Protection and Technical and Vocational Education and Training in Latin America
Project implementation and Issues on Unemployment Protection and Technical and Vocational Education and Training in Latin America High-level Meeting on Implementing Reforms on Protection from Unemployment
More informationGrowing Pains. Is Latin America Prepared for Population Aging? Western Hemis p here De p artment. IMF staff team led by Lorenzo Figliuoli. No.
INTERNATIO NAL MO NETARY FU ND Western Hemis p here De p artment Growing Pains Is Latin America Prepared for Population Aging? IMF staff team led by Lorenzo Figliuoli No. 78/05 Western Hemisphere Department
More informationFinancing strategies to achieve the MDGs in Latin America and the Caribbean
UNDP UN-DESA UN-ESCAP Financing strategies to achieve the MDGs in Latin America and the Caribbean Rob Vos (UN-DESA/DPAD) Presentation prepared for the inception and training workshop of the project Assessing
More informationSustainable social and economic transition: Some evidence from Latin America
Sustainable social and economic transition: Some evidence from Latin America José-Eduardo Alatorre Economics of Climate Change Unit Sustainable Development and Human Settlements Division Economic Commission
More informationLatin American Economic Outlook 2008
Latin American Economic Outlook 28 Javier Santiso Acting Director Chief Development Economist OECD Development Centre Brussels, 13 th December 27 The OECD and Latin America: An emerging commitment Latin
More informationThe Role of Conditional Cash Transfers in the Process of Equitable Economic Development
The Role of Conditional Cash Transfers in the Process of Equitable Economic Development Francisco H.G. Ferreira The World Bank & Dept. of Economics, PUC-Rio 1 Latin America (and Africa) are highinequality
More informationLeaving no one behind measurement issues
Leaving no one behind measurement issues Patricia Conboy, Head of Global Ageing, Advocacy, Campaigning, HelpAge International Expert Group Meeting, Measuring population ageing: Bridging research and policy
More informationApproaches to Universal Health Coverage and Occupational Health and Safety for the Informal Workforce in Developing Countries
Mapping Solutions to Universal Health Coverage Inclusive of the Informal Workforce : Reflexion and debate on base of the Project : Health Inequalities and Access to Social Security for Informal Workers
More informationSocial Policy, Gender and Care
Humboldt University of Berlin Social Policy, Gender and Care Shahra Razavi Research Coordinator, UNRISD 20 June 2007 The Ascendance of Social Policy Late 1980s social costs of adjustment Popular discontent
More informationSocial Pensions. Robert Palacios, Lead Pensions, World Bank Pension Core Course, April 28, 2015
Social Pensions Robert Palacios, Lead Pensions, World Bank Pension Core Course, April 28, 2015 Motivation Coverage in contribution-based pension schemes has remained low for decades in developing countries
More informationPOLAND 1 MAIN CHARACTERISTICS OF THE PENSIONS SYSTEM
POLAND 1 MAIN CHARACTERISTICS OF THE PENSIONS SYSTEM Poland has introduced significant reforms of its pension system since 1999. The statutory pension system, fully implemented in 1999 consists of two
More informationMore than revenue: Taxation as a Development Tool. Vicente Fretes Cibils March 7, 2014 Budapest, Hungary
More than revenue: Taxation as a Development Tool Vicente Fretes Cibils March 7, 2014 Budapest, Hungary Contents The Tax Forest 1 Undressing the Myths 2 The Politics of Taxation 3 Tax Systems for a Smooth
More informationHow middle-class is Latin America?
How middle-class is Latin America? Social inequality and well-being Jeff Dayton-Johnson Head, Americas Desk OECD Development Centre Latin American Conference on Measuring Well-Being and Fostering the Progress
More informationOFFICE OF THE CHIEF ECONOMIST, LATIN AMERICA AND CARIBBEAN REGION, THE WORLD BANK BACKGROUND PAPER FOR REGIONAL STUDY ON SOCIAL SECURITY REFORM
OFFICE OF THE CHIEF ECONOMIST, LATIN AMERICA AND CARIBBEAN REGION, THE WORLD BANK BACKGROUND PAPER FOR REGIONAL STUDY ON SOCIAL SECURITY REFORM The Performance of the Funded Pension Systems in Latin America
More informationThe World Bank in Pensions Executive Summary
The World Bank in Pensions Executive Summary Forthcoming Background Paper for the World Bank 2012 2022 Social Protection and Labor Strategy Mark Dorfman and Robert Palacios March 2012 JEL Codes: I38 welfare
More information"Social Protection Floors and Demographic Ageing:
"Social Protection Floors and Demographic Ageing: Regional Trends and Considerations Roza Rayapova, HelpAge International Social Protection Floors Regional and International Experiences, 30 October 2015
More informationPoverty, Inequality and the Millennium Development Goals in La:n America. Nora Lus)g Professor, Tulane University Nonresident Fellow, CGD and IAD
Poverty, Inequality and the Millennium Development Goals in La:n America Nora Lus)g Professor, Tulane University Nonresident Fellow, CGD and IAD OECD, Paris, February 27, 2012 1 La:n America and MDGs Significant
More informationExecutive Summary. Fiscal Panorama. of Latin America and the Caribbean 2015 Policy space and dilemmas
Executive Summary Fiscal Panorama of Latin America and the Caribbean 2015 Policy space and dilemmas Executive Summary Fiscal Panorama of Latin America and the Caribbean 2015 Policy space and dilemmas Alicia
More informationPriorities for Productivity and Income (PPIs) Country Results
Priorities for Productivity and Income (PPIs) Country Results Bolivia Alejandro Izquierdo Jimena Llopis Umberto Muratori Jose Juan Ruiz 2015 Priorities for Productivity and Income (PPIs) Country Results
More informationThe Landscape of Microinsurance in Latin America and the Caribbean The World Map of Microinsurance
Published by The Landscape of Microinsurance in Latin America and the Caribbean 2017 Preliminary Briefing Note The World Map of Microinsurance Co-funders Legend of Icons Agriculture Property Health Accident
More informationGrupo Latinoamericano de Emisores de Normas de Información Financiera
October 25, 2013 International Accounting Standards Board 30 Cannon Street London EC4M 6XH United Kingdom Re: Exposure Draft (ED/2013/7) on Insurance Contracts Dear Board Members, The Group of Latin American
More informationFiscal and Debt Coordination
Fiscal and Debt Coordination Eduardo Fernández-Arias Inter-American Development Bank Sovereign Debt Management Forum World Bank, Washington, 3 Dec 2014 Outline 1) The Macroeconomic Space Fiscal policy
More informationThe Great Deceleration
The Great Deceleration Low growth in LAC in 2014 is driven by few of the region s larger countries 8% LAC: Real GDP Growth Forecasts 6% 4% 2% 0% -2% -4% Venezuela Argentina Barbados Brazil St. Lucia Jamaica
More informationTrujillo, Verónica and Navajas, Sergio (2014). Financial Inclusion in Latin America and the Caribbean: Data and Trends. MIF, IDB.
About the Multilateral Investment Fund (MIF) Founded in 1993 as a member of the Inter-American Development Group, the Multilateral Investment Fund (MIF) was established to develop effective solutions that
More informationRE: Exposure Draft (ED/2014/5) on Classification and Measurement of Share-based Payment Transactions (Proposed amendments to IFRS 2).
International Accounting Standards Board 30 Cannon Street London EC4M 6XH United Kingdom March 25, 2015 RE: Exposure Draft (ED/2014/5) on Classification and Measurement of Share-based Payment Transactions
More informationCommitment to Equity in Fiscal Policy World Bank, 2013 World Bank Conference on Equity June 10-11, Washington DC
Commitment to Equity in Fiscal Policy World Bank, 2013 World Bank Conference on Equity June 10-11, Washington DC 1 Commitment to Equity Background In the joint CEQ effort we have dealt with the first steps
More informationThe Impact of Payroll Taxes on Informality. The Case of the 2012 Colombian Tax Reform. Cristina Fernández Leonardo Villar
The Impact of Payroll Taxes on Informality. The Case of the 2012 Colombian Tax Reform. Cristina Fernández Leonardo Villar Why this might be of interest to SSA and particularly to South Africa? Useful for
More informationA Lost Decade for Equality, Development and Human Rights? Assessing austerity and its alternatives 10 years after the global financial crisis
A Lost Decade for Equality, Development and Human Rights? Assessing austerity and its alternatives 10 years after the global financial crisis Isabel Ortiz, Director Social Protection International Labour
More informationHow might Matching Defined. protection design and labor market outcomes in MDCs? Ian Walker, The World Bank
How might Matching Defined Contributions i help hl improve social protection design and labor market outcomes in MDCs? Ian Walker, The World Bank Motivation and main messages 2 Adapting social protection
More informationMarket Surveillance. Lessons Learned in Latin America. Prepared by: Ms Beatriz Arizu For: The World Bank Energy Forum.
Market Surveillance Lessons Learned in Latin America Prepared by: Ms Beatriz Arizu For: The World Bank Energy Forum February 2003 Electricity Markets in Latin America Organized Power Markets are today
More informationPension systems in Latin America are organized as tripartite
9 Gaps in the welfare State and reforms to pension systems in Latin America Andras Uthoff Pension systems in Latin America are organized as tripartite contributory schemes paid into by employers, employees
More informationPension Fund Coverage and the Informal Sector in Latin America. Gonzalo Reyes Head of Studies Division Pensions Supervisory Authority Chile
Pension Fund Coverage and the Informal Sector in Latin America Gonzalo Reyes Head of Studies Division Pensions Supervisory Authority Chile Global Forum on Private Pensions Mombasa, Kenya. October 2008
More informationIndex. Cambridge University Press Annuity Markets and Pension Reform George A. (Sandy) Mackenzie. Index.
actuarial fairness, 31, 201, 202 adverse selection, 41, 142, 190, 191, 219 aging, 6, 8, 145, 225 30 allocated annuities (Australia), 26 annuities guarantees on, see guarantees history of, 1 group purchases,
More informationPublic Procurement networks in Latin America and the Caribbean
Session #7: Cross regional Learning: Cases in Caribbean and Latin American Countries Public Procurement networks in Latin America and the Caribbean Asia Pacific Public Electronic Procurement Network 2nd
More informationThe regional process on access to information, public participation and justice in environmental matters (Principle 10) in Latin America and the
The regional process on access to information, public participation and justice in environmental matters (Principle 10) in Latin America and the Caribbean THIRTY-SIXTH SESION OF ECLAC MEXICO CITY, 23 27
More informationPensions Core Course Mark Dorfman The World Bank March 2, 2014
Pensions Diagnostic Assessment and Conceptual Framework Pensions Core Course Mark Dorfman The World Bank March 2, 2014 Organization 1. Diagnostic assessment process 2. Conceptual framework design typology
More informationLatin America s Pension Revolution: A Review of Approaches and Experience *
Latin America s Pension Revolution: A Review of Approaches and Experience * Klaus Schmidt-Hebbel ** Central Bank of Chile Abstract Latin America (LA) is in the midst of a pension revolution that has caught
More informationSovereign Credit Outlook. Richard Francis Director, Latin America Sovereigns Corficolombiana Conference December 5, 2018
Sovereign Credit Outlook Richard Francis Director, Latin America Sovereigns Corficolombiana Conference December 5, 218 Agenda Global Perspective Regional Overview Sovereign Ratings and Recent Actions Colombia
More informationThe labor market in South Korea,
JUNGMIN LEE Seoul National University, South Korea, and IZA, Germany The labor market in South Korea, The labor market stabilized quickly after the 1998 Asian crisis, but rising inequality and demographic
More informationChile s Next Generation Pension Reform
NOTE Chile s Next Generation Pension Reform by Barbara E. Kritzer The author is with the Division of Program Studies, Office of Research, Evaluation, and Statistics, Office of Retirement and Disability
More informationFACT SHEET - LATIN AMERICA AND THE CARIBBEAN
Progress of the World s Women: Transforming economies, realizing rights documents the ways in which current economic and social policies are failing women in rich and poor countries alike, and asks, what
More informationSOVEREIGN ISSUES PLURINATIONAL STATE OF BOLIVIA
SOVEREIGN ISSUES PLURINATIONAL STATE OF BOLIVIA Presented by Roger Edwin Rojas Ulo Vice Minister of the Treasury and Public Credit Ministry of Economy and Public Finance Brussels, 4 April 2014 Bolivia
More informationLessons of the Financial Crisis for the Design of the New International Financial Architecture
Lessons of the Financial Crisis for the Design of the New International Financial Architecture John B. Taylor Hoover Institution and Stanford University Written Version of Keynote Address Conference on
More informationJuan Pablo Jiménez Economic Commission for Latin America and the Caribbean
Juan Pablo Jiménez Economic Commission for Latin America and the Caribbean ITC-Workshop How to Operationalize the International Tax and Development Agenda 12-14 September 2011 Bonn, Germany I. Diagnosis
More informationLabour. Overview Latin America and the Caribbean. Executive Summary. ILO Regional Office for Latin America and the Caribbean
2017 Labour Overview Latin America and the Caribbean Executive Summary ILO Regional Office for Latin America and the Caribbean Executive Summary ILO Regional Office for Latin America and the Caribbean
More informationA longevity insurance to contribute to financing old-age pensions in the Individually-Funded Systems
PENSION NOTES No. 18 - JULY 2017 A longevity insurance to contribute to financing old-age pensions in the Individually-Funded Systems Executive Summary One of the risks faced by retirees in the defined
More informationCYPRUS 1 MAIN CHARACTERISTICS OF THE PENSIONS SYSTEM
CYPRUS 1 MAIN CHARACTERISTICS OF THE PENSIONS SYSTEM The pension system in Cyprus is almost entirely public, with Private provision playing a minor role. The statutory General Social Insurance Scheme,
More informationThe challenge of financing for development in Latin America and the Caribbean
The challenge of financing for development in Latin America and the Caribbean USG and Executive Secretary of the Economic Commission for Latin America and the Caribbean (ECLAC) Financing for Development
More informationDecember 10, International Accounting Standards Board 30 Cannon Street London EC4M 6XH United Kingdom
December 10, 2012 International Accounting Standards Board 30 Cannon Street London EC4M 6XH United Kingdom RE: IFRS for SMEs Comprehensive Review - Request for Information Dear Board Members, The Group
More informationFinancial Access and Financial Regulation and Supervision Issues and Practices
Financial Access and Financial Regulation and Supervision Issues and Practices Seminar for Senior Bank Supervisors Federal Reserve and the World Bank October 18, 2006 Presented by: Anjali Kumar World Bank
More informationPension Diagnostic Assessment Pensions Core Course April 27, Mark C. Dorfman Pensions Team SPL Global Practice The World Bank
Pension Diagnostic Assessment Pensions Core Course April 27, 2015 Mark C. Dorfman Pensions Team SPL Global Practice The World Bank Organization I. Pension Diagnostic Assessment A. Evaluation Process &
More informationEarnings Related PAYG Schemes: Parametric Reform Options
Earnings Related PAYG Schemes: Parametric Reform Options World Bank Core Course on Pensions November 8-19, 2010 Washington, DC. David A. Robalino Lead Economist and Labor Team Leader Social Protection
More informationImplementation of Agenda 2030: Trends and progress emerging at the regional level in Latin America and the Caribbean
Implementation of Agenda 2030: Trends and progress emerging at the regional level in Latin America and the Caribbean Alicia Bárcena, Executive Secretary July 10, 2017 Question 1: Trends and progress emerging
More information