Study of Best Practices for Implementing Multiple Pension Systems

The Minister for Family, Labour and Social Protection, L. Enkh-Amgalan, is currently attending the “Global Pension, Social Security, and Sovereign Wealth Funds Forum” in Hong Kong, where the focus is on pension systems, social protection, and sovereign wealth management.

 

During the forum, Minister Enkh-Amgalan met with Janet Li, the head of the Hong Kong Pension Schemes Association, to discuss the unique features of Hong Kong’s pension system.

 

Key Features of Hong Kong’s Pension System:

• Multiple Pension Schemes: Hong Kong offers 24 different pension schemes, allowing both employers and employees to choose the scheme that best suits their needs. This flexibility enables individuals to propose their preferred pension schemes, creating a comprehensive pension plan that combines contributions from both parties.

• Shared Contributions: The official pension fund contributions are shared equally between the employee (5%) and the employer (5%).

• Digitization in 2025: Hong Kong is set to fully digitize its pension system in 2025, enhancing its efficiency and accessibility.

 

Minister L. Enkh-Amgalan expressed a strong interest in studying the flexibility of Hong Kong’s system to see how it can be adapted to Mongolia. This includes considering the introduction of private pension systems, providing Mongolian citizens with more retirement options and enhanced security, to create a more diversified pension system in Mongolia, rather than relying solely on a single pension model.