Filenews 22 February 2026 by Charalambos Zakos
With changes in eProcurement, but also in the context of concluding agreements between the state and the private sector in general, the General Accounting Office is proceeding, with the aim of improving the transparency and efficiency of procedures.
The Accountant General, Andreas Antoniadis, in an interview he gave to "F", referred to these changes, noting that within 2026 the fast dispute resolution mechanism is expected to be implemented on issues arising during the implementation of public works. At the same time, with other actions, such as the completion of the introduction of the professional buyer in the public sector, the overall system is expected to improve, underlining, however, that the upgrades will be continuous.
Andreas Antoniadis also responded to the issue of multiple pensions and its re-discussion in Parliament, saying that the Legal Service, from which an opinion had been requested, has confirmed that the imposition of a suspension of pension payments to active officials should not be implemented.
Among other things, the Accountant General referred to the Social Insurance Fund, the risks it may face, as well as the study that has been carried out, which shows that it remains viable, at least until 2080. At the same time, when asked about this, he also submitted his own opinion on whether or not MPs should pay contributions to the Social Insurance Fund, as the deductions from their salaries are made in a different way and are directed to their Pension Fund.
–In the past few days, the new eProcurement system has been put into operation. What changes have been made and what will someone who will use it find different?
The introduction of the new eProcurement system has marked another essential step in the implementation of the reform project being promoted in the field of public procurement in Cyprus.
The new system includes key new functions, such as contract management, for the complete monitoring of contracts throughout their lifecycle, the electronic repository (eAttestations), where economic operators can upload and manage certificates/declarations, and the Statistics & Reporting tool (BI Tool), with interactive dashboards.
In addition, existing functionalities, such as e-Catalogues and the search for tenders and information, have been improved.
– Can you tell us in simple terms what benefits these changes bring, since it is known that the public procurement sector has suffered over time?
These changes achieve the transition to a fully integrated digital ecosystem, with improved transparency, efficiency and quality of processes. It also significantly enhances the user experience for both contracting authorities and economic operators. Finally, there is support with new hardware and drivers, while the gradual integration of additional functions is carried out.
The strategic objective of the General Accounting Office of the Republic to provide an effective and transparent framework for the management of public contracts is also achieved through the implementation of other actions, such as the completion of the admission of the professional buyer to the Public Sector, the certification of the first 45 professional market operators, the implementation of the electronic tool for the preparation of public procurement tender documents, the implementation of the Digital Assistant (24/7), the expansion of the scope of framework agreements and the creation of dynamic purchasing systems.
– Should we expect other changes in the issue of public procurement?
Changes in public procurement are never completed, because there is room for further improvement. While we have already completed a cycle of legislative and regulatory regulations regarding the execution and changes in public procurement, we will seek in 2026 the fair and effective implementation of the fast-track dispute resolution mechanism on issues arising during the implementation of public works, thus also contributing to strengthening trust between the public and private sectors.
In addition, the introduction of new standard documents for IT and construction projects is among our goals for this year.
Finally, we invest, in cooperation with our partners, in improving the framework (structures, procedures, methodology, training) governing the management of public projects, with the support of external consultants.
Multiple pensions: Payment to active officials is normal
– Let's go to a different issue. In the last few days, the issue of the legislative regulation of multiple pensions has come back. What is the case in the end and the issue goes back to Parliament;
Due to the retention in the legislation of the unconstitutional provision for the complete suspension of pension payment in the cases of state officials (President of the Republic, Speaker of the Parliament, Ministers, Members of Parliament, etc.), the President and the members of the Public Service Commission, and the President and members of the Educational Service Committee, I had considered it appropriate to request legal guidance from the Legal Service again, in order to confirm or not the unconstitutionality of the suspension of pension payment in the cases of active officials who receive a pension from their previous service in another office in the Republic.
The Legal Service has confirmed that the imposition of a suspension of pension payment to active officials should not be carried out. These provisions continue to be unconstitutional, because they entail the deprivation of an acquired right to property.
Furthermore, the Legal Service has requested, by notification to the Ministry of Finance, that the amendment of the legislation in question proceed and that the provisions for suspension of pension payment be removed.
– Can the legislation passed by the Plenary and concerning multiple pensions be considered that, at some stage in the future, it will not be judged as unconstitutional? Because some effort had been made in the past, however, those who appealed to the Court at the time were finally vindicated.
The House of Representatives, in its wisdom, has exempted from the application of the amending legislation both serving officials before its entry into force date (i.e. 21/8/2025), as well as the service of civil servants of the state and wider public sector before the same date.
Therefore, I do not think that officials have a legitimate interest in going to court in the near future, but this is a possibility that will arise in the coming years.
However, I would also like to refer to the legislation on the possibility of waiving a state pension that has been enacted at the same time and to emphasize that it applies normally in the cases of recent appointments of Ministers/Commissioners, but also that it will be applied in the upcoming elections for the election of members of the House of Representatives.
The non-payment of Social Security contributions by MPs and the viability of the Social Security Fund
– Among other things, there is the discussion about the Social Insurance Fund. Until when is the Social Security Fund considered to be sustainable? What do you think is the biggest risk for its collapse and what should we avoid on the one hand and how can we strengthen it on the other?
Without taking part in the management committee of the Social Insurance Fund, it is considered sustainable until 2080, according to the actuarial study of the Ministry of Labour and Social Insurance of 2024, but also the International Labour Organization (ILO), which also confirms the longevity of the Fund.
According to the literature, the greatest potential risk for the collapse of a social security fund is actuarial imbalance, i.e. when future liabilities to beneficiaries become significantly greater than revenues and reserves.
I would like to refer specifically to two aspects which are interdependent, namely the Fund's investment policy and the internal debt of the State to the Fund. The Fund's conservative investment policy, including lending to the state of around €11-12 billion. It increases the risk of concentration, limits medium to long-term returns and links the Fund to the country's fiscal situation.
The large reduction of public debt (forecast for less than 40% by 2030) allows for a diversification of the Fund's investment strategy, with long-term targeting and a cautious, gradual increase in its return, with a weighted risk.
– Another aspect regarding the Social Security Fund is that the MPs do not pay contributions to the Social Security Fund, but to the Fixed Fund of the Republic and at a different percentage. It has been reported that a specific study is being prepared on this issue. Can you tell us what is actually the case?
Members of Parliament, in fact, do not pay contributions to the Social Insurance Fund, due to a legal exception linked to the nature of their office, since parliamentary status is not considered "insurable employment", according to the legislation. However, they have the option of paying voluntary contributions if they wish.
Nevertheless, MPs contribute 6.8% of their pensionable earnings for the sustainability of their Pension Plan, as well as 3% to the Widows' and Orphans' Fund.
From time to time, this issue is debated in the House of Representatives, with the most recent debate in the context of the abolition of multiple pensions of officials. However, as far as I am aware, there is no official study at this stage specifically concerning the contribution regime for Members.
My personal opinion is that, rightly, the nature of the office of Member of Parliament is not considered to be insurable employment.
