Current location:health >>
China Focus: China Rolls out Private Pension Scheme for Aging Population
health899People have gathered around
IntroductionContact Us HomeNewsHighlightACWF NewsSocietyWom ...
- Home
- News
- People
- In-depth
- ACWF
China Focus: China Rolls out Private Pension Scheme for Aging Population
April 22, 2022BEIJING, April 21 (Xinhua) — China on Thursday rolled out a private pension scheme to complement the nation's current pension system in its latest effort to tackle the strains of an aging population.
The scheme allows Chinese citizens to contribute up to 12,000 yuan (about 1,872 U.S. dollars) annually to individual pension accounts that would be subject to closed-end management, according to guidelines released by the State Council.
The cap would be adjusted according to social and economic development as well as how the country's pension system evolves.
The funds can be used to purchase financial products that are of relatively lower risk and have a longer-term investment horizon, according to the guidelines.
Workers who currently contribute to the basic pension insurance can participate in the scheme on a voluntary basis, the guidelines said.
The government will offer tax incentives to encourage participation in the new system, the guidelines said.
The scheme will be piloted in some cities for a year before it is implemented nationwide, it said.
The private pension mechanism will complement the country's current pension system consisting of the basic old-age pension, enterprise annuities as well as commercial insurance for the elderly, offering another layer of support for the aging population, analysts said.
Policymakers in China are actively taking measures to address the issues of an aging society. According to the latest census, by 2020, the number of Chinese people aged 60 or above had reached 264 million, accounting for 18.7 percent of the country's total.
With such an aging population, government expenditure alone is hard to meet the rising obligations, and the development of the private pension scheme would help ease the strains, said Everbright Securities in a note.
In a statement commenting on the new scheme, the China Securities Regulatory Commission said that the mechanism highlights the market-oriented operation of pension funds, which are usually large in scale and long-term in investment horizon, providing stable support to the real economy.
It also said that the commission will work on the matching rules for private pensions to invest in the country's publicly-offered funds, which now run over 4 trillion yuan of pension assets.
(Source: Xinhua)
32.3KPlease understand that womenofchina.cn,a non-profit, information-communication website, cannot reach every writer before using articles and images. For copyright issues, please contact us by emailing: [email protected]. The articles published and opinions expressed on this website represent the opinions of writers and are not necessarily shared by womenofchina.cn.
Comments
Magazines
Projects
- 2023 Women Science and Technology Innovation Pioneer...
Photos
- People Enjoy Blooming Tulips in Jinan, East...
- Flowers Bloom Across China in Spring
Special Coverage
Tags:
Reprint:Friends are welcome to share on the Internet, but please indicate the source of the article when reprinting it.“World Window news portal”。http://turkey.3elevenboutique.com/content-64a699915.html
Related articles
Yvette Fielding says her Most Haunted co
healthYvette Fielding claims her Most Haunted co-star Derek Acorah was a fake who tried to grope and kiss ...
【health】
Read moreUnbeaten but not unbeatable. Roma coach De Rossi believes he has the plan to defeat Leverkusen
healthROME (AP) — The Bundesliga title. The record 46-match unbeaten run. The 3-0 shutout of Bayern Munich ...
【health】
Read moreRebel Wilson stuns in a red lace dress as she attends The Almond And The Seahorse premiere
healthRebel Wilson stunned in red at the premiere of The Almond And The Seahorse at Vue West End on Tuesda...
【health】
Read more
Popular articles
- NBA playoffs: Edwards leads Wolves to 98
- Tottenham manager Postecoglou jokes he's moving to Sweden for a life without VAR
- Northwestern University reach deal with student protesters that sparks criticism
- Inspirational fighting spirit of boy given a gift by King Charles: Eleven
- 'Constantly learning' Imanaga off to impressive start with the Chicago Cubs
- Armed groups besieging towns in northeastern Mali driving residents, many children, to hunger
Latest articles
Red Lobster seeks bankruptcy protection after closing some restaurants
Ancestral lands of the Muscogee in Georgia would become a national park under bills in Congress
Golden Knights goalie Adin Hill will start Game 5 against the Stars
Rebel Wilson stuns in a red lace dress as she attends The Almond And The Seahorse premiere
Not so Cool Britannia! Noel Gallagher gives damning verdict on Keir Starmer
Watch where you're going! Heart
LINKS
- Athletes tied to Iowa gambling sting seek damages in civil lawsuit against state and investigators
- New York to require internet providers to charge low
- Military veteran charged with attempting to make ricin to remain jailed
- Body identified as missing man in case that drew attention because officer was charged
- Brit father, 51, is left fighting for life after freak fall while using gym on Turkish holiday
- Fed's preferred inflation gauge shows price pressures stayed elevated last month
- Trading Trump: Truth Social's first month of trading has sent investors on a ride
- Myth of 'superhuman strength' in Black people persists in deadly encounters with police
- Moment crooked dine
- At least 15 people died in Texas after medics injected sedatives during encounters with police