Experts urge Malaysia to shift pension focus to targeted aid for seniors

During the International Social Wellbeing Conference in Kuala Lumpur, Tan Sri Shahril Ridza Ridzuan of Axiata Group Bhd recommended Malaysia adopt targeted income support for citizens who reach 70 or 75, arguing that a universal pension at a younger age would be inappropriate. He said such support should complement personal savings, mirroring models used abroad. RD WealthCreation Sdn Bhd CEO Rajen Devadason warned that one outlet retirement age of 60 no longer matches a life expectancy now over 75, exposing retirees to 15-20 years of expenses without adequate funds.

He noted that roughly 15.3 million of the country’s 17 million workers lack a government pension, a figure rising as newer civil servants will not receive pensions. D3P Global CEO William Price advocated for higher state pensions beginning at 75 to address poverty among the elderly, suggesting a blend of public and private resources that lets savings be used earlier. The conference, co-organized by the Employees Provident Fund and the Finance Ministry, focused on reforms to retirement, health, and social protection systems.