Privatised pension systems lose their attraction

by Canning House Associate Fellow Andrew Thompson

Every week, Andrew Thompson draws on his great wealth of knowledge and experience of Latin America to bring our audience in-depth insights on economics, political risk, and business in the region.

This week, he considers how state-led changes to the privatised pension systems of Chile and Mexico indicate a shift in approach as two of Latin America's biggest economies fashion their post-pandemic "economic models."

These stories are also available on Andrew’s blog site:

La Rambla Research

What happened?

On 22 July the Chilean Senate voted to allow citizens to withdraw up to 10% of their savings from the AFPs – privatised pension funds. On the same day Mexican president Andrés Manuel López Obrador (AMLO) announced plans to boost pensions paid out by the Afores pension funds by 40%.

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About the Author Andrew Thompson

Andrew Thompson

La Rambla Research Ltd.

Andrew is a former foreign correspondent (Buenos Aires, Mexico City, Rio de Janeiro) and a broadcaster for the BBC’s Latin American Service. He is an Associate Fellow at Canning House in London. Working through La Rambla Research Ltd., he writes about economics, political risk, and business in Latin America.

These stories are also available on Andrew's blog site, La Rambla Research

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