The earnings rate for the account holders of the city’s provident fund – calculated from September last year to August this year – is 0.1814 per cent or an annualised interest rate of 2.1768 per cent, the Social Security Fund (FSS) announced yesterday. Interest rate earnings were transferred to account holders on Monday. The interest is generated by fixed deposits placed in banks, according to FSS. The provident fund accounts for residents was first established by the government in 2010 with the aim of better protecting the retirement of Macau residents. Currently, those eligible to withdraw the fund only include residents aged 65 or above, or those who are younger but need to meet large medical expenses due to serious injury or illness of his or herself or that of their spouse. The yield of the fund in the previous two years has been 2.03 per cent and 1.78 per cent per annum, respectively. As the provident fund is still reliant upon government revenue, the Social Security Fund has conducted a public consultation to collect opinions on launching a non-compulsory provident fund system contributed to by employers and employees. Chief Executive Fernando Chui Sai On said in August that the bill for the non-compulsory provident fund will be deliberated upon by the Executive Council by year-end.
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