The Congressional Commission on Economy, Banking, Finance and Financial Intelligence has been meeting every Wednesday to address the reform of the pension system and the bills that seek to authorize a seventh withdrawal of funds from the AFPs. In total, four bills have been debated related to the release of up to 4 UITs from Individual Capitalization Accounts (CCI).
The working group chaired by parliamentarian César Revilla could not continue with the support of more legislative proposals due to the November 1 holiday for All Saints’ Day. Next, we will tell you when the discussion on the withdrawal of the AFP will restart in Congress, what bills are pending and what is missing for them to be approved. Pay attention!
AFP Withdrawal: when will the pending projects be discussed in Congress?
The last ordinary session of the Congressional Economic Commission was held on October 18 and featured the presentation of the president of the Pension Funds Association, Giovanna Prialé, who spoke about the impacts of a potential seventh withdrawal of pension funds. AFP members.
In addition, parliamentarian Guido Bellido supported the scope of his legislative initiative, which proposes authorizing the optional withdrawal of up to 4 UIT in the Private Pension System. After that session, the congressmen traveled to their regions for the representation week from October 23 to 27 and the holiday of November 1 interrupted the ordinary activities of the Economy Commission.
However, the president of said working group, César Revilla, called an extraordinary session on October 31 and the parliamentarians listened to the presentation of the Minister of Economy, Alex Contreras, on bill 6120/2023-PE, which proposes creating a new pension system in our country.
For this Wednesday, November 8, the sixth ordinary session of said commission would be scheduled, which has yet to address the discussion of 13 more legislative initiatives for the disbursement of the pension fund.
What projects for AFP withdrawal from 4 UITs remain to be discussed?
In total there are seven bills from various parliamentarians that seek to release up to 4 UITs from private pension funds and five of them are pending consideration. In this regard, Congressman Flavio Cruz, from the Peru Libre bench, was the one who presented the last of them to authorize AFP members to request the disbursement of S/19,800.
As is public knowledge, there are 17 legislative initiatives related to the withdrawal of money accumulated in Individual Capitalization Accounts, of which only four have been debated in the Congressional Economic Commission. So far, Segundo Montalvo (withdrawal of up to 2 UIT), Víctor Cutipa (release of up to 3 UIT), Guido Bellido and José Luna (withdrawal from AFP of up to 4 UIT) have supported their bills and another 13 remain to be discussed. Below, find out about all the regulatory proposals that have been presented in Congress:
- AFP withdrawal from 2 UIT (S/19,800) – Segundo Montalvo Cubas (Free Peru)
- AFP withdrawal of up to 4 UIT (S/19,800) – Digna Calle (Vamos Perú)
- AFP withdrawal of up to 3 UIT (S/14,850) – Víctor Cutipa (Peru Bicentennial)
- AFP withdrawal of 50% of funds – Elías Ávalos (Vamos Perú)
- AFP withdrawal of 70% of funds – Américo Gonza (Perú Libre)
- AFP withdrawal of 50% of funds for home purchase – Patricia Juárez (Fuerza Popular)
- AFP withdrawal from 3 UIT (S/14,850) – Víctor Flores (Fuerza Popular)
- AFP Withdrawal from 5 UIT (S/24,750) – Jaime Quito
- AFP Retirement from 4 UIT (S/19,800) – Guido Bellido (Peru Bicentennial)
- AFP withdrawal of 25% to pay debts with mortgage guarantee – Melissa Córdova (Avanza País)
- AFP withdrawal of 100% for home purchase – Ilich López (Popular Action)
- AFP Retirement from 4 UIT (S/19,800) – José Luna (Vamos Perú)
- AFP withdrawal from 4 UIT (S/19,800) – Jorge Luis Flores Ancachi (Popular Action)
- AFP withdrawal from 4 UIT (S/19,800) – Kelly Portalatino (Perú Libre)
- AFP withdrawal from 4 UIT (S/19,800) – Luis Aragón (Popular Action)
- AFP Withdrawal from 4 UIT (S/19,800) – Mariza Taipe (Perú Libre)
- AFP withdrawal from 4 UIT (S/19,800) – Flavio Cruz (Perú Libre)
March will demand withdrawal of AFP: what is missing for the projects to be approved?
Next Thursday, November 9, a mobilization will be held to support the bills related to the withdrawal of AFP from 4 UITs, which are equivalent to S/19,800. According to Congressman José Luna of Podemos, the rally will be in the Campo de Marte at 6 pm and this demand is joined by the promulgation of the law to facilitate the return of contributions to Fonavi and the fulfillment of the recognition bonus.
Despite political and social pressure, there is still no consensus between Congress and the Executive Branch to approve a seventh release of pension funds. The Minister of Economy, Alex Contreras, has repeatedly spoken out against these legislative initiatives because they could become a fiscal risk and harm the pensions of members over 50 years of age. However, he left open the possibility of “limiting this measure to the group of unemployed.”
In addition to the MEF, the superintendent of Banking, Insurance and AFP (SBS), María del Socorro Heysen Zegarra, and Giovanna Prialé, president of the Association of Pension Funds, have appeared at the Economy Commission. In addition to this, only four congressmen have presented the scope of their bills for AFP retirement and the support of another 13 proposals is pending until a ruling is prepared that enters the Plenary for subsequent discussion and voting.
It is worth mentioning that, previously, the Executive Branch observed these norms, but the Constitutional Court declared them viable.
Source: Larepublica
Alia is a professional author and journalist, working at 247 news agency. She writes on various topics from economy news to general interest pieces, providing readers with relevant and informative content. With years of experience, she brings a unique perspective and in-depth analysis to her work.
