China is due to face financial pressure to preserve and increase the value of its social insurance funds and ensure the sustainability of its policies to cover its aging population, which is growing steadily. In 2010, 178 million people in China were aged 60 years or older, accounting for 13.26% of the total population. The number will likely double by 2030.
According to the Ministry of Human Resources and Social Security (MoHRSS), at the end of 2012, a total of 304.27 million working people, retirees and beneficiaries were covered by basic urban endowment insurance for senior citizens, an increase of 20.36 million from a year earlier. Among them, 45.43 million were rural migrant workers, an increase of 4.03 million from 2011. Recently, an official of MoHRSS remarked that in order to bear up to the financial pressure, China needs to increase financial inputs into the funds and diversify investment channels to enhance returns.
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