Aging populations drive pension reform concerns in Mexico and Spain

Economic organizations are warning of growing fiscal pressures due to aging populations in Mexico and Spain.

The Economic Commission for Latin America and the Caribbean (ECLAC) has suggested new pension reforms for Mexico. While previous reforms aimed to improve the system, ECLAC notes that the demographic bonus is expected to end by 2030. As the dependency ratio increases, the cost of pensions and healthcare is projected to rise significantly, with the elderly population expected to reach nearly 15 percent of the total population by 2030.

In Spain, pension spending reached a record 216,653 million euros in 2025. The OECD projects that by 2050, Spain will dedicate 17.3 percent of its GDP to public pensions, the highest proportion among OECD nations. With life expectancy projected to reach 87 for men and 90 for women by 2075, experts emphasize the need for increased private savings and early financial planning to manage the extended retirement period.