Foreign Insurers Key to Solving China's Looming Pension Crisis

April 18, 2019 | BY

Marilyn Romero

With the country's state pension fund forecast to run dry in 16 years, foreign insurers are being welcomed to knock on China's doors.

China's main state pension fund is expected to run out of money by 2035 because the number of the country's available workforce is also forecast to dwindle, according to a recent government report.

From a reserve of Rmb4.8 trillion, or $714 billion, at the end of 2018, China's urban worker pension fund is predicted to drop to zero by 2035 after peaking at Rmb7 trillion in 2027, warned a report by the government-supported Chinese Academy of Social Sciences.