Brazil – Q&A on long awaited Pension Reform Proposal

The proposal is expected to generate BRL1.16 trn in 10 years . If congress does not dilute the bill too much, it will be enough to stabilize debt to GDP in the coming years. The minimum retirement age was set at 65 for men and 62 for women with a minimum contribution to the system of 20 - years. The transition period for retirement in the new system will be approximately 12 years. The government will aim to reform the retirement system of military officials. However, the military pension system will be addressed through changes to ordinary laws ; presented to congress in the coming days and outside the auspices of this constitutional bill. In the most optimistic scenario, approval in the House could come in late May but most likely in June or August. The Senate will take an additional three mon ths, to complete their approval . Therefore, the approval process will not be completed until mid Q4 2019.