News Local Cyprus to set up a single insurance and pensions supervisory authority

Cyprus to set up a single insurance and pensions supervisory authority

Cyprus will set up a new single independent insurance and pensions fund supervisory authority joining the separate authorities currently supervising the sectors, Finance Minister Harris Georgiades announced on Thursday.

The announcement was made during a joint press conference with the President of European Insurance and Occupational Pensions (EIOPA) Authority Gabriel Bernardino, who backed the government’s proposal.

“I am really encouraged of the announcement the Minister made today, I strongly supported it,” Bernandino said, adding that the proposal is clearly in
line with EIOPA’s recommendations.

“I think this is the right moment to do it, (the proposal) it would create an independent, stronger and credible supervisory authority. That is of course very important not only for the protection of the citizens in the areas of insurance and pensions but also an authority that can be efficient in delivering for the market to improve the growth capabilities and innovation in the insurance and pension markets,” he said.

In his remarks, Georgiades said Cyprus’ insurance and pensions sector may be quite developed but “there are weaknesses which we must acknowledge and deal with and there is room for drastic improvement with ample benefits for the Cypriot economy,” he said, adding that the new supervisory authority will address the issue of fragmentation currently observed in the sector.

“It is inconceivable to have more than 1,399 provident funds in Cyprus while much larger economies have some tenths of funds which are more strong, well-staffed and professional in their operation and management,” he said.

He made clear the reforms will not affect benefits or rights but he noted that “a quite serious issue is that many citizens reach retirement age after a life-long work with an inadequate pension, perhaps covered only by the social insurance fund.”

“No system can rely solely on social insurance, it is necessary the working population to participate to professional pension systems, provident funds, that operate properly and are properly supervised, constituting basic pillars for economic growth and social policy,” he said.

The Finance Minister said the proposal will be put into public consultation to secure consensus by all stakeholders and political parties.

The new authority will replace the Commissioner for Occupational Pension Funds, under the Ministry of Labour and the head of the Insurance Control Service of the Finance Ministry into a new single independent supervisory authority which will operate on the model of the Cyprus Securities and Exchange Commission.

(Cyprus News Agency)

Top Stories

Turkish rescue workers search for quake survivors; death toll rises to 27

  Turkish rescue workers searched through rubble for survivors on Saturday, as the death toll from a powerful earthquake that hit the Aegean Sea the...

New Covid restrictions possible next week, as numbers steadily high

  The government is looking into additional measures to stem the coronavirus surge over the last couple of weeks and according to Philenews, it's possible...

UK national missing since March

  UK national Nakita Yasmeen, 30, has been missing since March this year and authorities have launched yet another appeal for any information. She is thin,...

Man pays 22 thousand fine for trapping and killing dozens of ambelopoulia

  Α sixty three year old poacher in the Nicosia district was fined 22 thousand four hundred euro for illegally trapping and killing 68 songbirds...

26 covid patients at Famagusta General

  Twenty six patients suffering from coronavirus are currently being treated at the Famagusta General, the referral institution for covid-19, as the government is considering...

Taste

Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...

Mezedes

No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...