ANKARA (Reuters) - Turkey's parliament approved on Wednesday evening a law requiring workers younger than 45 years old to be automatically registered with a private pension plan, a move aimed at boosting domestic savings.
"The Turkish Parliament has just approved a major reform. Auto-enrolment in private pension schemes is likely to boost domestic savings," Deputy Prime Minister Mehmet Simsek wrote on his Twitter account.
The contribution for employees would amount to around 3 percent of their annual income, according to the law.
Turkey's domestic savings rate was at 15.63 percent of the gross domestic product in 2015, according to the legislation.
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The law will go into effect from the start of 2017.
(Reporting by Gulsen Solaker; Writing by Daren Butler; Editing by David Dolan)