‘Bundesbank’ proposes raising retirement at age 69 – La Nacion Costa Rica

 Updated August 16, 2016 at 12:00 am
 

Berlin

The bank German central Bundesbank, proposed raising the retirement age to 69 years, but the proposal was received coolly by the government.

10 years ago it was decided to raise the retirement age from 65 to 67 years, a change that is gradually being introduced and all retirees will apply from 2029.

Since then, they have increased the exhortations in the largest economy in Europe to raise retirement age.

“in the mandatory pension insurance, the current situation is favorable, but should not hide the fact that they fall (contributions) due to demographic trends in the future, “he said the bank led by Jens Weidmann.

the German central bank suggested the opportunity to open the debate on the possibility of increasing up to 69 years, 2060, the retirement age.

also proposes to increase the contribution of workers to 24% of their gross income to the increase in life expectancy and falling birth rates in the country.

“One should not hide the fact that they are unavoidable new adjustments to ensure financial sustainability,” the bank said in its monthly bulletin for August.

“should not be taboo to talk about a longer working life,” argued the entity.

the Bundesbank said in its monthly report on Monday that one should think to raise the retirement age to about 69 years in 2060 to stabilize the system, as the population ages.

spokesman of Chancellor Angela Merkel, Steffen Seibert, said the government “confirms retirement at 67 years.”

on the other hand, the Bundesbank expects the German economy has maintained during the summer its expansion, in the second quarter of 2016 it reached 0.4%, compared to growth of 0.7% in the first quarter, thanks to the boost from exports, construction and consumer spending.

The German central bank considers to have “a limited economic impact.”