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Minister Chinamasa

Tinashe Makichi Business Reporter
The Insurance and Pensions Commission (IPEC) will soon appoint a substantive chief executive officer following the appointment of a new six-member board by the Finance and Economic Development Minister Patrick Chinamasa.

The new board will be chaired by former AfrAsia chief executive Mrs Lynn Mukonoweshuro.

Other members who constitute the board are Mr George Mazhude, who is board vice chairperson, Finance and Economic Development Permanent secretary Mr Willard Manungo, Mrs Anna Mashingaidze, Abedinico Ncube and Mr Tafadzwanashe Zinyoro.

Introducing the new board yesterday, Minister Chinamasa said the delay in the appointment of a substantive chief executive of the insurance regulator was delayed by the need to restructure its board first.

“The new board will have a working mandate to appoint a substantive chief executive. All along we have had an acting executive whose tenure was being extended after every three months because I thought it was not my responsibility to appoint a substantive chief executive,”said Minister Chinamasa.

Although there is improved stability and confidence in the insurance and pension sector, it has largely remained depressed due to low economic activity and legacy issues emanating from the conversion of insurance and pension policies from the Zimbabwe dollar to the United States dollar values, among other issues.

Minister Chinamasa said some of the key issues that the new board must consider include: finalisation of amendments to pensions and insurance regulations, introduction of interface information technology (IT) system, the Commission of Inquiry, the Insurance and Pension Study and compliance with Prescribed Asset Requirement.

He also said there is need for the board to focus on reviewing the minimum capital requirements as well as establishing effective co-existence between the National Social Security Authority and private occupational pension schemes.

IPEC is the commission governing insurance and pensions in Zimbabwe, which emerged from the enactment of the Insurance and Pensions Commission Act of Zimbabwe.

Minister Chinamasa said the bills for the insurance and pension sectors should be ready for submission to Parliament during the first quarter of next year.

“The Ministry of Finance and Economic Development is finalising draft bills for the insurance and pension industry, also taking into account stakeholder’s inputs.

“The bills include the Insurance and Pension Commission Bill, Pensions and Provident Funds Bill, and the Insurance Bill. It is anticipated that the bills would be presented to Parliament in the first quarter of 2016,” he said.

The bills seek to bar shareholders with significant shareholding from holding executive positions in insurance companies and to revise the individual shareholding threshold.