The president of Anafap and general manager of AFAP Sura, Sebastian Peagudaconsidered in an interview on Channel 4 that as is the proposal that was presented by the union center, it represents “a legal problem of the first instance”, because the individuality of the savings would be lost to move to a common pool of the Social Security Bank (B.P.S.).
“Even a report from the Association of Bankers of Uruguay (AEBU) before the ballot was approved incorporated that, it is a problem in terms of individual ownership of the funds,” Peaguda pointed out.
“Today the funds are individual and are accumulated in a general fund, that fund is managed by an AFAP, the one chosen by the person, but they are not part of the assets of the AFAP,” the president of Anafap added.
The manager of Sura reported that insurers have the equivalent of 22,000 million dollars under their management, that is, the equivalent of 30% of the country’s Gross Domestic Product (GDP). “It is a very important number, Uruguay I have not had national savings of these characteristics in its history, I can do it after 27 years,” said Peaguda.
The interviewee went further and assured that “in 1996 this reform (of the AFAP) was approved, today it seems that it is an issue that has already been decided, it is not timely, it is not a response to this reform (of social security)”.
The PIT-CNT proposal resembles the operation of the BPS in the 1950s, Peaguda shot
Peaguda assured that the PIT-CNT proposal is not very different from the operation of the BPS in the 1950s, where although the state body had accumulated funds from the workers, “it was squandering them.”
“Demography was causing the reserves to be lost, but in addition the BPS was making investment decisions together with the government that were not optimal for the workers,” said the leader.
“(The BPS) ended up buying securities below inflation, and with that the reserves ran out,” Peaguda said. “It is not a matter of who manages it,” concluded the general manager of Sura.
Source: Ambito
