China to appropriate State company assets to make up pension funds gap

BEIJING - China will set aside part of the assets of State-owned enterprises to make up a shortage of money in the nation’s pension funds caused by an increasingly aging population. Some State-owned companies will transfer 10% of their stakes to the pension fund in the first stage, a document released by the State Council, China’s Cabinet, said.

Caixin reported that between three and five enterprises and two financial institutions administered by the Central Government would be included in a pilot programme this year. The document did not specify which companies.

Some provinces will also start trying this programme, the statement said. Based on pilot programme results, more State-owned companies and financial institutions will be added in 2018. www.webershandwick.cn (ATI).