NIS does not provide an adequate level of coverage to the working and elderly population. This is primarily the result of poor administrative performance and not a result of inadequate contribution or benefit rules.
Extract from the draft eighth report of the Actuary
Introduction
Recently, the National Insurance Scheme (NIS) has been in the news for two main reasons. The first was in relation to the recorded loss of $371 million the Scheme had made in 2011 as well as a projected larger loss for 2012. This was the first time in its 43 years of history that the Scheme suffered a loss. Officials of the Scheme cited a dwindling workforce and the failure of businesses and self-employed persons to pay over contributions to the Scheme as the main reasons for this state of affairs.
The second news item was in relation to the most recent report (in draft) of the actuary on the long-term viability of the Scheme. The actuary painted a very gloomy picture of the state of the finances of the Scheme to meet its long-term liabilities. This has caused much concern among sections of the Guyanese population, particularly those currently
