Why Did an Academic Say Early MPF Withdrawals Betrayed Its Purpose?

What Did the MPFA Propose?

The MPFA was considering letting members withdraw part of their MPF before retirement for critical illness, children’s education, or urgent home down payments, with public consultation by year-end.

What Did the Academic Say?

HKU’s Chow Wing-sun slammed the idea as abandoning retirement protection — MPF should not become a “cure-all fund.” Critical-illness withdrawals might be considered, but other uses violated its purpose; with low contribution rates and a short history, balances were thin, making the consultation a waste of time — “trying to run before learning to walk.”

What Did the Banking Sector Think?

HSBC’s Leung Siu-kay said members who withdrew mid-way for other uses would end up drawing on public welfare in retirement — unfair to those relying on MPF for old age.