China’s Third-Pillar Pension Reforms Seek Greater Foreign Involvement
At the 2025 Lujiazui Forum held on June 18, Li Yunze, director of the National Financial Regulatory Administration (NFRA), stated that China’s three-pillar pension system remains imbalanced. The third pillar, which started relatively late, holds significant potential for future development.
China’s pension system is structured around three main pillars: a basic pension, enterprise annuities, and personal pension plans. According to Li Yunze, the third pillar is crucial for the future development of China’s pension system. The NFRA is actively seeking to enhance foreign involvement in these reforms to leverage international expertise and investment.
The third pillar of China’s pension system has been gaining attention as it represents a significant opportunity for growth and development. By encouraging foreign participation, China aims to create a more robust and diversified pension system that can better serve its aging population.
The 2025 Lujiazui Forum provided a platform for industry leaders to discuss the future of China’s financial sector, including the development of the third-pillar pension system. The NFRA’s efforts to attract foreign involvement are seen as a key step towards modernizing China’s pension infrastructure and ensuring its sustainability.
As China continues to navigate its pension reform journey, the role of foreign investment and expertise is expected to be pivotal. The country’s large and growing elderly population necessitates a comprehensive and sustainable pension system, and the third pillar is central to this endeavor.
