South African pension withdrawals since reform up to $2.8 billion

JOHANNESBURG, Nov 19 (Reuters) – South Africa’s tax service said on Tuesday that pension withdrawals in the 11 weeks since a reform took effect allowing people to make partial withdrawals before retirement had risen to 49.6 billion rand ($2.8 billion).

The South African Revenue Service said on Oct. 11 that 21.4 billion rand had been paid out since the Sept. 1 reform.

The “two-pot” pension reform is meant to support long-term retirement savings while offering flexibility to fund members in financial distress.

It is expected to spur economic growth in the final months of 2024 and boost the government’s tax take. ($1 = 17.9644 rand) (Reporting by Tannur Anders; Editing by Alexander Winning)

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