What did the Minister of Economy say about the approval of the seventh AFP withdrawal? This is how José Arista spoke

The Economic Commission of the Congress of the Republic has given the green light to a measure that allows an optional withdrawal of up to 4 ITU, equivalent to S/20,600, for all members of the Pension Fund Administrators (AFP) without being limited only to those who experienced unemployment for 6 consecutive months before November 2023, as had been initially suggested. This would be the seventh authorized under these conditions.

After receiving this approval, although it is still required to be put to a vote in the Plenary, the Minister of Economy and Finance, José Arista, has expressed its position regarding this measure. Previously, the official had been against the seventh AFP withdrawal.

The statements of the Minister of Economy on the AFP withdrawal of up to 4 UITs

Jose Arista avoided giving much opinion on the approval of the AFP withdrawal. “It has just been approved by the Economy Commission. All the potential consequences that this decision could have will be evaluated with them. “I could not anticipate now what actions could be taken because the decision is not in the hands of the Executive, but rather the legislature,” said the Head of Economy.

Previously, José Arista had expressed his criticism of the measure retirement of the AFP and warned about the possible loss of profitability for affiliates. Even the Economy Minister sent a document to Congress in which it detailed the potential consequences of this action.

When can the AFP be withdrawn?

So far, an exact date has not been defined for access of up to four tax tax units (UIT) of pension savings. This process requires that the opinion be submitted for debate in the Plenary Session of the Legislature, an event that could take place this week or next.

Once the approval of Congress is obtained, the bill will be sent to the Executive Branch, which will have the power to issue observations or proceed to its promulgation.

Then, it will correspond to the Superintendency of Banking, Insurance and AFP (SBS) establish the specific regulations for carrying out withdrawals. As observed in previous similar processes, the disposition of the funds would be organized into segments corresponding to a ITU every 30 days.

Affiliates will have a period of 90 calendar days, counted from the enactment of the law, to submit their applications in person or digitally.

Once the request is received, the Pension Fund Administrators (AFP) They will make disbursements on a monthly basis. It is established as an essential requirement that the regulation be published within a period of no more than 15 days after the promulgation of the law.