The reform of pension systems is once again hanging in the balance in Chile, as a political controversy threatens to derail ongoing talks. The conservative party, UDI, has suggested that their continued participation in the dialogue process depends on clarifications regarding the exit of former minister, Pablo Larraín. The former minister was reportedly dismissed for comments he made about the campaign of a candidate for mayor of Santiago, which UDI has interpreted as a violation of political neutrality. This conditionality has raised concerns that the necessary reforms may be delayed or even abandoned. Experts warn that a lack of progress on pensions could have severe consequences for hundreds of thousands of Chileans, who are hoping for significant changes to the system. The outcome of these negotiations will no doubt be watched carefully in the coming weeks.
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