About the product
In the past two decades, Latin American countries reformed their pension systems focusing mainly on addressing the weaknesses of the contributory schemes – fiscal unsustainability, low coverage levels and a high degree of segmentation – and barely addressed the non-contributory element. The reform experiences show however that the intended reforms did not manage to meet their objectives. The Latin American experience shares similarities with that of China in terms of coverage, labor market informality. Both cases attest to the importance of combining contributory and non-contributory components in pension reform design.