Current location:Culture Corner news portal > travel
China Focus: China Rolls out Private Pension Scheme for Aging Population
Culture Corner news portal2024-05-21 12:09:24【travel】1People 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
Address of this article:http://nicaragua.arnoldview.org/article-64e899915.html
Very good!(99774)
Related articles
- Young Boys seals 6th Swiss soccer league title in 7 years after rallying from firing coach Wicky
- Tesla, Domino's Pizza rise; AMC Entertainment, SoFi Technologies fall, Monday, 4/29/2024
- Lady Gaga and boyfriend Michael Polansky make a rare appearance as they step out for a low
- Powerball: Oregon authorities reveal winner of $1.3B jackpot
- Mystery artist who erected signs comparing pothole
- Duo charged with murder in killings of couple whose remains were found scattered on Long Island
- Tesla's stock leaps on reports of Chinese approval of driving software
- Astros promote 1B prospect Loperfido as Abreu's struggles continue for slumping team
- California congressman urges closer consultation with tribes on offshore wind
- Suspected al
Popular articles
- Supreme Court rejects an appeal from a Canadian man once held at Guantanamo
- President Joe Biden, Mexican President Andrés Manuel López Obrador discuss migration in latest call
- Morel hits tiebreaking HR off Díaz in 9th and Cubs top Mets 3
- Politicians, dog experts vilify South Dakota Gov. Kristi Noem for killing her dog
Recommended
A warrant for Netanyahu’s arrest was requested. But no decision was made about whether to issue it
Queen Camilla appears in high spirits as she hosts the first female crew to win an around
Elon Musk visits China as Tesla seeks self
Bruins, Hurricanes, Canucks and Avalanche look to advance to second round of the NHL playoffs
Pentagon vows to keep weapons moving to Ukraine as Kyiv faces a renewed assault by Russia
IMF approves immediate release of final $1.1 billion tranche of $3 billion bailout to Pakistan
Politicians, dog experts vilify South Dakota Gov. Kristi Noem for killing her dog
Israel has offered Hamas a 40
Links
- Vatican complains after French court rules in favor of nun dismissed from religious order
- Chinese C919 passenger plane debuts Singapore Airshow
- Ahead of United Methodist gathering, African churches weigh their future
- Owners of Crooked House agree to rebuild Britain's wonkiest pub after it burned down
- China's Shaanxi sees record surge in foreign
- Feature: Australian winemaker excited about re
- Liam Ohgren scores his 1st career goal to lead the Wild past the Sharks 6
- The astonishing effect of stem cell implants
- Vatican complains after French court rules in favor of nun dismissed from religious order
- EU’s mandate for customs registration of EV imports from China disappointing: chamber