The Philippines has one of the most sustainable, yet least adequate pension systems in Asia, according to a study by a global financial service provider.
Allianz said the relatively high Philippine retirement age makes the country’s pension system one of the most sustainable in the region.
It said, “In contrast to many of its neighbors, the Philippines already raised the retirement age to 65 for both men and women.”
The higher retirement age reflects the average life expectancy of Filipinos, which now averages 71.4 years. Further life expectancy of Filipino males after age 65 is 13.7 years, and for females, 18.4 years.
But the Philippines still has a marked gap with regard to coverage and access to financial services, the report noted.
Allianz said only about 37 percent of the working population is effectively covered by the public pension system. Only 32 percent of the population above 15 years old have access to financial services.