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Social insurance fund bill to be submitted to parliament in September

Cyprus Mail · 2026-09-02

AI SUMMARY

• What happened: A bill to regulate the operation of the social insurance fund will be submitted to the Cypriot parliament in September as part of a broader pension reform initiative. • Why it matters: This reform is considered the most significant undertaken by the government this year, aiming to increase pension benefits, especially for lower-income pensioners, and improve the economic well-being of families in Cyprus. • What to watch next: Stakeholders and citizens will closely monitor the parliamentary discussions and outcomes related to the social insurance fund bill and its potential impact on pensioners and families across the country.

**Social Insurance Fund Bill Set for Parliamentary Submission in September**

In a significant move towards pension reform, the Labour Minister of Cyprus, Marinos Mousiouttas, announced on Tuesday night that a bill aimed at regulating the operation of the social insurance fund will be presented to parliament this September. This initiative is considered the first pillar of a broader pension reform strategy, which the Minister described as the most crucial reform undertaken by the government this year.

Speaking at a festival in Xyliatos, Mousiouttas emphasized the government's commitment to enhancing pension benefits, particularly for those receiving lower pensions. The reform aims to ensure that all pensioners see increases in their benefits, with a focus on providing greater support to the most vulnerable segments of the population.

Mousiouttas highlighted that the pension reform is part of a series of initiatives designed to improve the economic well-being of families across Cyprus. In conjunction with the pension reforms, he mentioned the tax reform implemented earlier this year, which aims to create a fairer taxation system. This new system includes higher tax exemptions and deductions that take into account the real financial burdens faced by households, such as expenses related to children's education, housing, and loan repayments. "In practice, it means more money where the family really needs it," he stated, underscoring the government's focus on alleviating financial pressures on families.

In addition to pension and tax reforms, Mousiouttas addressed ongoing educational reforms, particularly the introduction of a new evaluation system for teachers and educational work. He described the new system as a shift from a formal and one-dimensional evaluation process to a more formative approach, aimed at enhancing the quality of education in Cyprus.

The Minister also touched on the government's commitment to the development of mountain communities, which remains a priority for both the government and President Nikos Christodoulides. Efforts are being made to combat the desertification of villages, create job opportunities, support local production, and promote soft tourism. These initiatives are designed to encourage young families to consider living in rural areas once again, thereby revitalizing these communities.

As the government prepares to submit the social insurance fund bill to parliament, stakeholders and citizens alike will be watching closely to see how these proposed reforms will unfold and impact the lives of individuals and families across Cyprus.

Source: Cyprus Mail
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