Monday, May 9, 2016

IMF calls from Germany pension reform – SPIEGEL ONLINE

The International Monetary Fund (IMF) calls from Germany a pension reform. Specifically urge the IMF experts that the retirement age is increased. It would be helpful to link the retirement age to rising life expectancy, write the IMF experts in their recommendations. “A longer working life would have a double dividend result. More employment while reducing poverty in old age”

Recently already industrialized countries organization OECD Germany had advised, continue to raise the statutory retirement age. So far, it is expected to increase by 2029. stepwise to 67th Without reforms, pension expenditure would rise by at least 2.5 percent of economic output by 2060, warned the OECD. By coupling the retirement age to changes in life expectancy, the sustainability of public finances could be strengthened, as the OECD.

The German government is split on this issue. Finance Minister Wolfgang Schäuble (CDU) had recently advocated to bring the retirement age and life expectancy in a relationship in the pension formula. The Minister of Finance is currently taking some 317 billion euros a, of which 111 billion will be used for pensions, nearly 87 billion goes to the pension system.

Nahles rejects later retirement from

Federal Labour Minister Andrea Nahles (SPD), however, rejects a later retirement. She had recently reaffirmed that it intends to present a concept for a comprehensive reform in the autumn, which has all three pillars in mind.

The IMF focuses on not only the pension. “Further progress in structural reforms would stimulate the growth potential”, says the country report on Germany. There is still room for additional spending, without violating the strict debt rules, said IMF expert Enrica Detragiache. “We think that would be a good investment in the future of Germany.” Among the low for many years public investment, especially at the municipal level have suffered from the perspective of the IMF new projects. The current account Plus is expected to remain in this year near its record level, says the International Monetary Fund ahead.

The IMF expects a continued moderate economic growth in Germany and expects this year an increase in economic output of 1.5 percent and of 1.6 percent next year.


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