30% commission on US$11.9B Pension Fund “unacceptable”

Santo Domingo.- Part of the pension fund is available to finance power plants, through a trust, because it was decided that 10 percent of them can be allocated for infrastructure, but the 30% commission charged by administrators on the soon-to-be US$11.9B is “unacceptable.”

According to statements by Pension Fund administrator Joaquin Geronimo, the government can issue debt securities and the proceeds will be channeled to a trust, to ensure disbursement according to the project implementation, which would be overseen by the Trust to ensure a return.

Interviewed on Hoy Mismo Channel 9, the official also warned of the “unacceptable” gains by pension fund administrators, whose 30% commission has been rebuked by many sectors. “Imagine with the fund reaches RD$500 billion (US$11.9 billion) within two or three years, that 30% percent commission will become unacceptable.”