AFP Withdrawal: Congress proposes that affiliates have up to 70% of their funds

Congressman Américo Gonza, from the Perú Libre bench, proposes authorizing affiliates the withdrawal of up to 70% of their funds in the Private Pension System (SPP) in order to mitigate the effects of the economic crisis. In addition, it is specified that the profitability of the AFPs has been negative in recent years, which does not guarantee that affiliates have a decent pension.

PL 4378 proposes that the withdrawal procedure be through requests addressed to the AFPs. The request may be made from 30 days to one year after the regulation comes into effect. The sharp will be able to choose the form of disbursement, either in a single army, or prorated in parts.

The Superintendency of Banking and Insurance (SBS) must approve and disseminate the operating procedure for the withdrawal by members of their pension funds within 15 days of promulgation of the rule.

“The proposal to release up to 70% of the funds of each member of the AFPs is based on the fact that the economy, to date, it shows signs of contraction, that is, the increase in inflation above 8.5%, which translates into an increase in the prices of food, goods and services (…), making strong the need to have economic resources that allow the population to face the increase in prices (…) ”, indicates the document in the explanatory statement.

The legislative proposal was presented on Friday, March 3 and must go through the evaluation of the congressional commissions before its debate and vote in plenary. If approved, the rule could be observed by the Executive, for which it has a period of 15 days.