Warning about an "illegal" move by the National Government with pension money: this is what Banrep said
In a recent statement, the Bank of the Republic issued a strong warning to the National Government regarding the draft decree that seeks to transfer nearly $25 trillion pesos from private funds (AFPs) to Colpensiones in advance.
TL;DR
- The Bank of the Republic issued a strong warning to the National Government regarding a draft decree.
- The decree aims to prematurely transfer approximately $25 trillion pesos from private pension funds (AFPs) to Colpensiones.
- The central bank stated that any mass transfer of resources must follow the current scheme while the pension reform law is suspended.
- Current regulations stipulate that funds in individual accounts are managed by AFPs until retirement requirements are met.
- Asofondos has described the government's intention as a "de facto expropriation" of workers' returns.
- President Gustavo Petro defends the measure as a protection for those who voluntarily moved to the public regime.
- The Bank of the Republic's warning poses a significant technical obstacle to the Ministry of Labor's proposed decree.