Australia and India Sign Deal On Pensions

By Haruna Kobayashi, for 24 November, 2014

A new social security agreement means that Indians living in Australia and Australians living in India will no longer have to return to their home countries in order to access Government retirement pensions.

The agreement, which was signed by both countries earlier this week, is likely to come into effect from July 2015.

In a statement, Australia's Treasury and Social Services Department described the move as an important step in strengthening the bilateral relationship between Australia and India. It said that people will have more freedom to move between the two countries, knowing that their pension rights will be recognized and protected.

Mathias Cormann, who is Australia's Minister for Finance and Acting Assistant Treasurer, further explained that businesses will no longer have to pay into both countries' superannuation and pension insurance systems for temporarily seconded workers. He said that 160 Australian businesses operating in India are set to save AUD10m (USD8.7m).

According to Australia's Minister for Social Services, Kevin Andrews, around 100 former Australian residents in India are expected to benefit during the first year of operation.

Tags: Pensions | India | Retirement | Australia | Social Security | Expats | Pensions | Welfare | Pensions |


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