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Pension cash-out stirs Parly debate

At the helm: Serame presented the Bill’s second reading this week PIC: THALEFANG CHARLES
At the helm: Serame presented the Bill’s second reading this week PIC: THALEFANG CHARLES

Members of Parliament have urged the Finance ministry to extend the encashment of pension benefits to active members or allow the accrued amounts to be used as security, BusinessWeek has learnt.

The Finance ministry this week tabled legislative changes that will allow deferred pensioners to cash in their benefits to pay for loan and mortgage defaults as well as medical bills associated with terminal illnesses.

The changes to the Retirement Funds Act are being debated in Parliament.

Editor's Comment
Get back what was stolen, and lock the door

That a single private law firm pocketed P6.5 million for just four cases, out of a total P11.1 million paid for 25 matters, reeks of a system that was not merely disorganised but open to abuse.Bayford has taken a welcome first step by telling the Public Accounts Committee the truth. Now he must act decisively to ensure it never happens again and that any money lost to wrongdoing is recovered.The figures are staggering. Whilst ordinary Batswana...

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