MEF will present today a proposal for the pension reform of the Executive

During the Infrastructure event for the productive diversification of Proinversión, the head of the Ministry of Economy and Finance (MEF), Alex Contreras, He pointed out that the initiative has the favorable approval of the Central Reserve Bank (BCRP) and the Superintendency of Banking and Insurance (SBS).

“There is a project agreed upon at the Executive level: MEF, BCRP, SBS. What we are going to do for the sake of transparency is to post the proposal on the website today to receive comments,” the minister told The Republic.

In this sense, Contreras specified that any reform proposal must be the result of consensus to avoid harm to future generations. “Structural changes that involve pensions and the long term cannot be approved at once. That has not happened, but we want to avoid it,” he continued.

However, he recognized that there are coincidences with the proposals of the Economy and Labor commissions of the Congress of the Republic, for which reason he did not rule out a joint opinion.

“There are 2 opinions in Congress and I think that what is important in long-term reforms that affect people’s well-being is that there be a broad discussion, that it be approved in the second legislature after consensus and discussion. Here it is not about that the project that comes first wins, but the one that is better and some can cost up to S/9,000 million, would be unsustainable. We would like you to think about fiscal sustainability first. A reform that involves a very big effort has to be reformulated, which is why we are publishing our commission’s proposal, as promised in March. And there is a PL proposal and we are going to hang it”Contreras said.

“There are things in common [con los proyectos del Congreso]such as the need for a minimum pension, incorporate more skills in the sector, etc. Ideally, a consensus would be reached to make this reform sustainable,” he concluded.