|
China launched its private pension scheme in April, as the
country grapples with a rapidly ageing population, and pilot
programmes have already been rolled out in some cities.
On Friday, the China Banking and Insurance Regulatory Commission
(CBIRC) published rules that would allow banks and wealth
management companies to participate in the scheme, as long as
they meet certain criteria.
Separately, the China Securities Regulatory Commission (CSRC)
listed the names of approved pension fund products, as well as
distribution companies to sell them.
Under China's private pension scheme, employees can contribute
up to 12,000 yuan ($1,860) per year to their individual
retirement accounts, which can enjoy tax benefits.
Products eligible under the scheme include banking wealth
management products, deposits, insurance and public funds,
meaning various types of financial institutions will be
competing fiercely for the business.
In 20 years, 28% of China's population will be more than 60
years old, up from 10% today, making it one of the most
rapidly-ageing populations in the world, according to the World
Health Organization.
Independent consultancies estimate China's private pension
market will grow to at least $1.7 trillion by 2025, from $300
billion currently.
(Reporting by Shanghai newsroomEditing by Raissa Kasolowsky)
[© 2022 Thomson Reuters. All rights
reserved.]
This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|
