This conclusion was drawn based on a report of the 6th Actuarial Review of the NIS, which was reviewed by Cabinet. The review covers the period of operation for 1999 -2001.

According to Dr. Luncheon, it povided projections on optimistic, pessimistic and intermediate scenarios of the Scheme's financial operations. Among the key factors identified he said, was the ageing population, leading to unfavourable contributor pensioner/pentioner ratios.

Dr. Luncheon said Cabinet recalled its earlier action that resulted in April 1, 2004 increase in contribution rate to 13 per cent of insurable earnings. And the report will now be examined by the stakeholders subsequent to which, it would be distributed publicly.

He noted that the working population, more than likely up to age 50 would constitute a major part of emigrating Guyanese, and therefore this may have some impact.

Because these statistics are not available in a suitable form, it could not be entered into the actuarial study of the Scheme and its finincial viability.

What has been studied though, is the impact of the volume of self employed persons and the difficulty in recruiting them in approprate numbers and also the arrears that are accumulating by employers who are in default, not paying NIS contributions. This happens, sometimes criminally, where they do collect the employees contributions and fails to deposit that to the Scheme, Dr Luncheon explained.