Approved withdrawal of 4 UIT for AFP affiliates: debate and discontent in Congress

In a session that recently took place in the Congress of the Republic, the Economy Committee approved by 14 votes in favor the report for the release of 4 UIT in favor of AFP affiliates without exception. This measure, which would allow a partial withdrawal of funds for affiliates, has generated mixed opinions and questions about its true impact on the country's pension system. The president of the committee, César Revilla, expressed his discontent after the session, stating that the approval of the withdrawal of the 4 UIT has disregarded the debate and approval of a comprehensive pension reform that benefits all Peruvians. Revilla, a member of the Fuerza Popular party, mentioned that although he voted in favor of the withdrawal, his true intention was to achieve a system that provides solutions for all citizens, especially those in the informal economy who are left unprotected. During the session, there was criticism about the lack of thorough analysis of the pension reform proposal, as well as the approval of the withdrawal of the 4 UIT without considering the possible impacts that this measure could have on the pension system. Revilla lamented that, despite holding technical discussions and listening to all involved parties, the final decision was made without taking into account the technical comments against the withdrawal of the 4 UIT. In response to criticism about whether voting in favor of the report was consistent with existing technical objections, Revilla explained that his intention was always to address the problem in a comprehensive manner, but due to the lack of consensus in Congress, a palliative measure was approved to allow affiliates to access part of their funds. The Fuerza Popular party allowed a free vote, and each congress member was responsible for their decision. Regarding the future of the 4 UIT report, Congressman José Luna suggested that it could enter the Plenary this week, however, Revilla believes that the administrative process necessary for its approval will take at least 15 days. It is expected that the issue will be discussed in the Plenary at the end of April or beginning of May. Regarding the pension system reform, Revilla indicated that the Economy Committee will continue working on proposals to address the existing problems in the pension system. It is expected that there will be continued insistence on the need to implement comprehensive reforms that benefit all Peruvians and ensure a sustainable system in the long term.