Reversing Pension Privatization: Rebuilding Public Pension Systems in Eastern European and Latin American Countries (2000-18)
68 Pages Posted: 10 Dec 2018 Last revised: 11 Dec 2018
Date Written: September 24, 2018
From 1981 to 2014, thirty countries privatized fully or partially their public mandatory pensions; as of 2018, eighteen countries have reversed the privatization. This report: (i) analyses the failure of mandatory private pensions to improve old-age income security and their underperformance in terms of coverage, benefits, administrative costs, transition costs, social and fiscal impacts, and others; (ii) documents the reversals of pension privatization, the laws, governance, new entitlements, financing and contribution rates of the new public pension systems; (iii) provides guidance on the key policy steps to reverse pension privatization, for those countries considering returning back to a public system.
Keywords: pension privatization, pension reform, social security policy, social insurance
JEL Classification: I3, H53, H55, J14, J26
Suggested Citation: Suggested Citation