FINANCE, Economic Development and Investment Promotion deputy minister David Mnangagwa has encouraged actuaries to fast-track the Actuaries Bill 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 of events occurring.
The discipline helps formulate policies to minimise risk and its financial impact on companies and clients.
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 on Thursday, Mnangagwa told actuaries that the Bill was a key for the profession’s transparency, regulation and professional maturity.
“The 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,” he said.
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“The 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 our country.
“I, therefore, challenge the profession to influence government policy and industry development,” Mnangagwa 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.”
The deputy minister noted that ASZ should influence, review and assess the sustainability of each product developed in the country, especially the sustainability of the traditional pension systems in Zimbabwe.
“The profession should develop tailor-made 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. The 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. The 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.