Moody's said that the US public pension funds incurred investment losses of about one trillion dollars due to the market collapse and the economic repercussions of the Corona virus.
According to the Gulf newspaper, the credit rating agency said that the funds face an average investment loss of 21% for the fiscal year ending June 30, based on the status of market indicators on March 20.
Tom Aaron, Moody's Vice President, said: Unless investment losses are compensated, governments may face a 60% increase in pension contributions for fiscal year 2021 in order to prevent the growth of unfunded liabilities.
