March 6, 2024 (EIRNS)—The German government is planning to solve the crisis of pensions by creating a €200 billion fund to be invested with a 5% return by 2036. The fund will be financed with €12 billion annually from the Federal budget.
Since no safe bonds with a 5% return exist, the fund will invest in riskier instruments. In presenting the plan on March 5, Finance Minister Christian Lindner rejected the term “Stock market pension”: “The chances offered by the capital markets to retirement insurance have been ignored for a century. We will take them now,” he said in a press conference.
