The Sunday Mail
Kennedy Chingombe
THE Actuarial Society of Zimbabwe (ASZ) has implored company executives, including those in the insurance sector, to walk the talk by sticking to ethical business practices.Actuarial experts believe that unethical conduct will not only damage the reputation of the actuarial society but also exacerbate challenges that are currently affecting the local economy.
Speaking during the Second Convention of ASZ held last week, Ms Marjorie Ngwenya, who is the president-elect of the Institute and Faculty of Actuaries (IFoA), challenged professionals to consider making the local actuarial community relevant and sustainable.
“Zimbabwe is experiencing a cashflow crisis (sic). Bond notes may be introduced and there is a widespread panic in the system.
“Many people, including professionals, are withdrawing their money from the banking system, exacerbating the cash crisis.
“Surprisingly, many of these people act in advisory capacity . . . is it ethically appropriate to advise clients to keep introducing money into the economy while the advisors are doing the opposite?” challenged Ms Ngwenya.
First Mutual Holdings Limited chief executive officer Mr Douglas Hoto concurred with Ms Ngwenya.
He accused executives of worsening the cash crisis through externalising money.
He said business executives should be exemplary.
“Many companies make profit and secretly take it out of the country. For example, as a chief executive officer, if l withdraw my money and put it under my pillow and continue asking my clients to put more money into my business, what message am l putting across?” said Mr Hoto.
He challenged service providers to honour their promise to clients.
This year’s chapter of ASZ’s convention ran under the theme “innovation and relevance”.
The convention was aimed at providing a platform for actuaries, business leaders and financial industry experts to discuss how new innovations could help solve challenges affecting the financial services sector.
ASZ focuses on contributing to the soundness of the entirety of the financial service industry in Zimbabwe.
Since its inception, the Society has successfully introduced the actuarial science degree programme at the National University of Science and Technology (Nust).
ASZ currently collaborates with regulator, the Insurance and Pensions Commission, in developing recommendations for prudential regulations in Zimbabwe.
