Felipe Pezo, member of the Board of the Ecuadorian Institute of Social Security (IESS), on behalf of employers, said in an interview with El Universo, he is “very concerned” by the crossing of rates approved on November 13 at a meeting he did not attend because, he says, the necessary supports for discussion had not been submitted.
Pezo explains that if we divide the deficit to 3 million members, this means it would take $ 60,000 per capita. “Now we have saved $ 9,000 million in the pension fund; that is, $ 2,500 per capita. This figure is fourteen times lower than what Chileans have saved ($ 150,000 million). ”
He mentioned that the removal of the State contribution to the IESS (40% of the pensions) was a great impact “because it represented a decrease of $ 1,000 million a year. Now is more worrisome they withdraw other $ 1,000 million for the change in the funds. These are about $ 80 million per month.”
He reports that the BIESS has no cash because the money is invested: “50% in bonds, 35% in mortgages and something else in securities and real estate and unsecured loans. They would need to ask more money to the BIESS in 2016, about $ 1,700 million.”