The Zimbabwe Independent

Treasury encourages actuaries to fast-track Actuaries Bill

FINANCE, Economic Developmen­t and Investment Promotion deputy minister David Mnangagwa has encouraged actuaries to push to have the Actuaries Bill adopted into law to support the profession.

Actuaries work in the actuarial science field, a discipline that applies mathematic­al and statistica­l methods to the systematic observatio­n of natural events to assess the risk involved.

e discipline helps authoritie­s formulate policies to minimise risk and its financial impact on companies as well as individual­s.

At the inaugural six-day Actuarial, Finance, Risk and Insurance Congress held in July 2023 by the Actuarial Society of Zimbabwe (ASZ), actuarial science data showed that most local banks failed to remain adequately capitalise­d.

Officially opening the ASZ’S annual convention in Harare recently, Mnangagwa told actuaries that the Bill was key for the profession’s transparen­cy, regulation and profession­al maturity.

“ e creation of opportunit­ies for actuarial work needs to be matched by a commensura­te supply of qualified actuaries with appropriat­e skills. Contextual­ised training for the local market is critical to complement internatio­nal certificat­ions,” Mnangagwa said.

“ e Actuaries Bill is a key artefact for the profession’s transparen­cy, regulation, and profession­al maturity. I challenge the Actuarial Society to finalise the Bill and take it to the next stage.”

He said he had confidence that the profession should continue to hold transforma­tive convention­s and grow bigger for the benefit of Zimbabwe.

“I, therefore, challenge the profession to influence government policy and industry developmen­t,” he added.

“As a ministry, we expect that actuaries will drive innovation and sustainabl­e industry growth through developing relevant products and ensuring the financial soundness of companies.”

e deputy minister noted that ASZ should influence, review, and assess the sustainabi­lity of each product developed in the country, especially the sustainabi­lity of traditiona­l pension systems in Zimbabwe.

“ e profession should develop tailormade solutions to our challenges as a country. I encourage you to put as much effort into planning and designing financial services products that spur economic growth. Reinforce such products with sound pricing, capital adequacy, and risk management principles,” Mnangagwa said.

“Over time, you should frequently review and assess the suitabilit­y of products to our environmen­t and the needs of the economy. For example, the profession should be at the forefront of reviewing the sustainabi­lity of traditiona­l pension systems in our society.”

Mnangagwa encouraged the private sector to be at the forefront of spurring economic developmen­t and work hand-in-hand with the government in decision-making.

“Ordinarily, it is the private sector that should be taking this role and spurring our economy forward. e challenge that we are now giving the private sector and the people in this room is to call upon each other to have a private sector-led economy,” he said. “As is envisioned by His Excellency (President Emmerson Mnangagwa) in his vision, the private sector will always move faster than the government. e government has set the template, and they have shown that it can be done. It is now time for the private sector to lead and take over our growth trajectory.”

He also encouraged collaborat­ion between various profession­s, industry and government saying it is of paramount importance.