Pension systems generosity in North Africa

Pension systems in North Africa are facing a certain number of difficulties. We present in this paper the pension system’s characteristics and organization in Algeria, Morocco and Tunisia. This work identifies the specificities, as well as the common problems, of each country’s pension system. Using the actual pension system authorizing legislation and case simulations, we analyze the high degree of generosity of the different systems and its sources. This generosity cannot be maintained in a context of aging populations. Reform is needed. Finally, we discuss the different ways to reform the systems, the possibility of reform applications and their macroeconomic impacts.