Pension benefits: Impact on income distribution and poverty

Although average income from pension benefits in most countries of Latin America remains higher than the poverty line, large numbers of older adults covered by pension systems —between 50% and 80% of the total— receive such meagre benefits that they are still highly vulnerable. Even so, this pension income is enough to mitigate and, in some countries, even substantially reduce poverty rates and inequalities in income distribution. As countries continue to expand coverage of their benefit systems, both effects will become more significant in coming decades, especially in the light of the ongoing process of ageing in the overall population.

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Gender Equality

Reduced Inequalities

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