Prime Minister Gaston Browne took time out on his Saturday radio programme to address an issue over which he has voiced concern in the past; the need for nationals to begin the serious planning for life after retirement.
PM Browne, a former banker and someone with a wealth of experience in investing, said this is important as too many people are relying on their pension to take care of their living expenses after they retire from work. However, according to the prime minister in today’s era of high inflation and other challenges, relying on the pension is not enough.
“Pensions were not designed to take care of all of a person’s living expenses in retirement; if you rely exclusively on pension you would not be able to maintain the living standards he/she is accused to,” PM Browne emphasized.
He stated that he has come across many instances where elders/retirees who may have contributed much to the country in their productive years, are ‘falling through the cracks’ as they find themselves in situations where they are not able to maintain themselves.
“Too many persons are not taking advantage of the ‘strong incomes’ they earn during their productive years. They often spend as they earn or spend based on income rather than save or invest for their later years. Retirement planning is something our people are not focused on and many end up being very vulnerable,” he observed.
He expanded on this point further by noting that there are many seniors who have approached the issue on the notion that their children will take care of them in their retirement, but according to the prime minister this too, is unrealistic.
“They must understand the world in which we are living in is becoming more and more competitive as children today have their own set of challenges. For example, based on lifestyle, the children may have to pay for mortgage or a car and even to educate their own children with little room for taking care of their parents,” PM Browne stated.
He recommends strongly that as the people age, they should seek out investments opportunities that would give a return that they could be used to supplement their pension. He is also suggesting that these investments should give returns that exceed the rate of inflation.
The prime minister pointed to the lands at Pensioners where the government has earmarked for locals to get a foothold into the tourism industry. Regrettably, he noted, not too many persons from the ‘middle class’ are not coming forward to invest.
PM Browne is again appealing for a more robust response from what he termed ‘ordinary Antiguans and Barbudans’.
