FRC offers scholarships to boost actuarial science

The Financial Reporting Council of Nigeria has launched an initiative to address the critical shortage of actuarial professionals in the country by offering scholarships to outstanding students.

This was revealed at the University of Lagos during a career advocacy session with newly admitted postgraduate students of the Department of Actuarial Science and Insurance.

The Head of the Directorate of Actuarial Standards at FRC, Mr Olasunkanmi Ayinde, who spoke at the event, said that the body, under the leadership of its Executive Secretary/Chief Executive Officer, Dr Rabiu Olowo, was determined to reverse the trend and promote the study and teaching of actuarial science in Nigeria.

He said, “The less than 30 actuarial professionals in Nigeria are unacceptable. South Africa has almost 2,000. In Nigeria, we have about 60,000 chartered accountants; we have about 40,000 bankers and 9,000 registered insurance professionals. But we have less than 30 actuarial professionals in Nigeria. Some of them are even foreigners. In fact, there are 28 of them in Nigeria: five associates and 23 fellows. You can see that we have problems on our hands.”

Highlighting the role of actuaries in the financial sector, which includes determining insurance premiums and assessing financial risks, Ayinde pointed out that every insurance company in Nigeria, as well as regulatory bodies like the Central Bank of Nigeria, National Insurance Commission, National Pension Commission, and National Health Insurance Authority, should have at least one or two actuarial scientists.

To tackle this gap, FRC, in collaboration with the Nigerian Actuarial Society, PenCom, and other stakeholders, is implementing measures to eliminate barriers to the profession’s growth.

“We are introducing a sponsorship programme. This year, the best 10 graduating students will be sponsored for professional examinations. The ball is now in your court,” Ayinde told the students.

He added that the FRC’s campaign to promote actuarial science had already reached secondary schools.

“We are going down even to secondary schools in the form of advocacy outreach. We went to a Baptist High School in Jos and then ECWA Staff High School, Jos, and they are showing interest in applying for the course in the university,” he said.

Concerning the programme, he said, “The programme that we have come to matriculate today is an M.Sc. programme of the University of Lagos that has accreditation from the Institute and Faculty of Actuaries of the United Kingdom. This will encourage the students to work hard to be among the best 10. Moreover, we will refund those that pass their professional exam their money.”

Head of the Actuarial Science Department at Unilag, Professor Hamadu Dallah, highlighted the positive impact of FRC’s involvement in preparing graduates for the job market.