Governments make retirement policies to ensure financial security for older people. When people retire, they stop earning a regular income, so these policies help them have a stable income. This prevents poverty among the elderly and reduces the financial pressure on families to support them. It's like a safety net for those who haven't saved enough for retirement.

Governments also create retirement policies to maintain economic stability. These policies encourage people to save and invest during their working years, which helps the economy. They also help manage the workforce by opening up jobs for younger workers. By ensuring retirees have money to spend, these policies support economic growth.

Retirement policies are also about social welfare and well-being. They aim to promote the dignity and well-being of older citizens by providing healthcare and other benefits. These policies encourage healthy aging and active participation in society, which improves the quality of life for retirees. They also address the challenges of an aging population.