SEC: CMEPA to boost Filipinos’ long-term savings

MANILA, Philippines — The newly implemented Capital Markets Efficiency Promotion Act (CMEPA) will allow Filipinos to build up more funds under the Personal Equity and Retirement Account (Pera) with the grant of a 50-percent additional tax deduction to private employers that contribute an amount equal to or greater than their employees’ contributions.

This is according to the Securities and Exchange Commission, which hailed the CMEPA as a landmark measure that lowered the tax rate for several capital market-related transactions.

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“The CMEPA strengthens the role of Pera by offering stronger incentives for long-term savings. It encourages companies to support their employees’ retirement planning while simultaneously increasing the capital available in the financial system, stimulating the local stock market,” SEC chair Francis Lim said in a statement on Monday.

Established under Republic Act No. 9505, or the Pera Act of 2008, Pera is a voluntary retirement savings program available to the public in addition to existing retirement benefits from the Social Security System, the Government Service Insurance System, and employer-sponsored plans.

The program offers contributors tax benefits not available in other retirement investment products, encouraging Filipinos to save for their future.

(2025/07/21-11:55)

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