Pension costs on the exchequer could be as high as 4.1% of the gross domestic product (GDP) by 2030, the same as fiscal deficit estimated for the current fiscal, warns Crisil, reports fe Bureau in New Delhi.
If a social security net doesn’t get built starting right now through a vibrant private-sector pension programme, the government will have to bear a heavy fiscal burden — between R7-12 lakh crore or 3.4-4.1% of GDP by 2030 — due to the pension Bill, according to a Crisil Research study released on Tuesday.
The country’s 60-plus population is estimated to grow from the current 100 million to 180 million by 2030 and to 300 million by 2050.
Read more @ http://www.financialexpress.com/article/economy/and-now-the-pension-deficit/26831/
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