View more on these topics

Malta seeks new way for pensions

The difficulties of funding state pension schemes and the need to encourage people to save is a global phenomenon with no one size fits all answer, says Maltese prime minister Dr Lawrence Gonzi.

Speaking at a seminar hos- ted by Aberdeen Asset Management in Malta last week, Gonzi said the country had consulted the World Bank, the IMF and a host of independent experts in building its proposals, which it hopes to push through this year.

The main problem is cutting costs. Malta has a net debt equivalent to 75 per cent of its GDP and needs to cut this to 65 per cent to meet the Maastricht requirements for entry into the euro, which the country hopes to achieve in 2008.

Mirroring the situation in the UK, Malta is the latest European country to undergo root and branch pension reform.

The country is looking to open up its pension system to allow private companies to compete after admitting that its state-run final-salary scheme is becoming too expensive.

Gonzi says: “Our existing pension system is very expensive and we are looking at how to use fiscal incentives to encourage people to save.”

He also told delegates that Malta’s positioning makes it an excellent gateway for product providers into both Europe and North Africa.

Aberdeen Asset Management is raising its stake in local financial services firm Global Group. Global distributes Aberdeen’s funds and the company counts Libya leader Colonel Gaddafi’s son Seif al Islam among its clients.

Aberdeen head of sales & marketing Gary Marshall says: “Global distributes Aberdeen funds and Aberdeen holds shares in Global. We are also looking at opportunities in the Maltese pension market.”

Recommended

Bupa looks to January for full protection launch

Bupa Individual Protection will be looking at an early December launch of its protection proposition with online capabilities to 26 soft partners. A full launch follows in the first week of January. Phase one will concentrate on critical illness and life while phase two will introduce the expert underwriting system with further protection products.

Sesame returns to portal as Exchange backs Intrinsic

Sesame has picked Assureweb to power its multi-tie, four months after the network broke ties with the portal after a provider buyout. The deal comes as the portal battle for new multi-tie contracts intensifies with The Exchange announcing it will supply all the technology behind Lord Leitch’s Intrinsic project. Sesame commercial director Charles Bryant says […]

Shock and claw

Money Marketing’s investment reporter has learned better than to “give it the big lobster” over lunch. In J Sheeky’s last week, he boldly ordered one of the luxury sea-beasts, grilled in a sauce of garlic butter. But the sauce proved to be proved a good lubricant. The claw crackers slipped and a the intrepid reporter […]

Non-conforming link-up for Furness

Furness Building Society is moving into the non-conforming mortgage market with a distribution agreement with Mortgages plc. Furness will market the entire Mortgages plc product range to intermediaries using jointly branded marketing and promotional material.

Thumbnail

Neptune video: Abenomics: the impetus for Japan’s fast-track recovery?

The remarkable performance of the TOPIX over the past year has caused many sceptical equity investors to look again at the Japanese market. These returns have come despite very significant problems facing the Japanese economy. Chris Taylor, manager of the Neptune Japan Opportunities Fund, discusses these problems and whether Abenomics will be able to overcome them, enabling the market to continue to rise.

In the video, Taylor addresses the following:

• The size and speed of Japan’s unprecedented monetary policy
• Abenomics and the implications should it fail
• Corporate Japan and beneficiaries of government policy

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment