Proposal to allow Chileans to draw down pensions would hurt business climate, group says
October 5, 2021
5:01 PM CDT
Last Updated 7 hours ago
Americas
Reuters
2 minute read
SANTIAGO, Oct 5 (Reuters) - An association of U.S. businesses in Chile warned on Tuesday that a proposal to allow Chileans to draw money from their pension funds for the fourth time since the coronavirus pandemic began could seriously harm the country's business climate.
Chile's lower chamber of Congress approved the bill late last month, but it faces more resistance in the Senate, where right-leaning lawmakers allied with the administration of President Sebastian Pinera have opposed it. read more
"This new withdrawal of pensions, and particularly of life annuities, ... causes severe damage to Chile's image as an attractive destination for foreign investment," the Chilean-North American Chamber of Commerce said in a statement.
Chile's government and central bank have also warned a fourth withdrawal would harm the pension system, hitting the poor the hardest in the long term. Opposition lawmakers, however, say the cash is a lifeline for many Chileans suffering from the economic impacts of the coronavirus pandemic.
More:
https://www.reuters.com/world/americas/proposal-allow-chileans-draw-down-pensions-would-hurt-business-climate-group-2021-10-05/
