Address by the President of the House of Representatives at the 3rd Conference of Cyprus Association of Actuaries

Ladies and Gentlemen,

It is with great pleasure that I am here with you today at the 3rd Conference of the Cyprus Association of Actuaries.

The rapid and disruptive changes and the new challenges in the fields of economy, politics, society, and the ongoing technological developments indicate that we must be constantly vigilant and that we must keep up with European and international standards.

I believe that nations who adapt by seeking to find new ways of operation, have successful growth rates. Therefore, it is necessary to have a new developmental growth strategy so that we may promote Cyprus as a leading example.

Given the challenging times we live in, we need to lay down the foundations of a new economic framework and utilise all comparative advantages that Cyprus has to offer in areas that will bestow prestige and credibility to the Cypriot economy. It is natural that there will be risks within this framework of economic development – risks that must be overcome through targeted strategy. The contribution given by actuaries as a whole will greatly speed up this process.

In general, the role of the actuarial profession in a country’s economic and social life is crucial. Globally, the application of actuarial science plays a very important role on a private, corporate and governmental level; especially regarding economic and financial issues that focus on preventing and managing risk. Projections and calculations that are based on scientific studies are essential in protecting companies and nations from financial loss, but most importantly, they help the correct implementation – in particular to those regarding insurance plans and pension schemes.

Actuarial studies provide a necessary preliminary stage for businesses and government schemes prior any sort of implementation. These include precise estimates, accurate statistics, sustainability issues, profit and loss projections, and many more.

The Cyprus Association of Actuaries is widely recognised and active, both nationally and internationally. By organising important local and international conferences, the Association demonstrates its ability to deal with actuaries at a global level and to address both local and international issues. Apart from today’s Conference, I would also like to mention other significant conferences that have been organised in the past, such as those of the International Actuarial Association and the Actuarial Association of Europe.

The cooperation between the Association of Actuaries and the Cyprus government is excellent and is constantly improving, both on a technocratic as well as on a consultative level. I will briefly mention the Association’s contribution towards the actuarial study of the upcoming National Health Scheme (NHS), which after two decades, appears to be finally closer towards implementation. The NHS is a major event for the health sector and that is why all the information needs to be precise as to enable its proper execution, operation and viability.

Within the same context, the Association is involved in the implementation of the new European framework of Solvency II for Insurance Companies and the new European IORP Directive for occupational pensions. The goal of the new IORP Directive is to facilitate the development of occupational retirement savings and to provide sustainable and adequate occupational pensions to the European citizens. The goal of the Solvency II Directive is to improve the protection of consumers of insurance products, to enhance supervision, to integrate further into the EU single market and to increase the international competitiveness of EU insurers.

Additionally, with regards to the activities of insurance companies, Cyprus has the potential to become a destination for companies to setup their base for their international insurance operations. This is due to the harmonisation with Solvency II, the ability to operate in other EU countries through Passporting, the attractive tax framework, as well as the high quality of professionals and the services that they offer, such as actuaries. The prospects of an upcoming insurance market are clearly important, and it must be done in the best possible manner. Therefore, Cyprus should be quick to seize the opportunities that are presented.

Dear guests, I am convinced that working methodically on a targeted and strategically designed plan will lead to further growth.

To the Board of Directors and members of the Association of Actuaries Cyprus, and also to all actuaries who are here today, I wish that in the future you will all proactively use your knowledge to push your profession one step further so that you may benefit your country.

Source: Press and Information Office