Exclusive: No single pension regulator; retirement, annuity plans will remain under IRDAI purview: Finance Ministry
In what could be a missed opportunity, the finance ministry has decided that annuity plans will be regulated by IRDAI, while PFRDA will oversee pension products. This means that the current regulatory structure will continue and pension products across the financial sector will be overseen by various financial regulators.
In 2015, PFRDA had sought permission from the government to be the sole regulator for all pension products, including those sold by insurers.
PFRDA has agreed to the new arrangement on the condition that any unregulated pension product in the market will come under its purview.
For customers, having a single regulator would have been an easier solution. At present, pension products having retirement benefits as well as annuity components come under the ambit of multiple regulators. If there was a