Pakistan’s pension system is on shaky ground.
The number of retirees is ballooning, straining the government’s ability to pay pensions with current tax revenue. This means less money for vital services like education and healthcare.
The government’s proposed reforms, like limiting early retirement and reducing pension payouts, are just a temporary fix.
Experts recommend a complete overhaul: a contributory system where workers and the government pool money to fund pensions.
While this is a more sustainable solution, setting it up and managing existing pension obligations will be challenging. Time is running out – the government must act now to prevent a future pension crisis.