The International Federation of Accountants (IFAC), the global organization for the accountancy profession with 172 members and associates in 129 countries, and the Chartered Institute of Public Finance and Accountancy (CIPFA) today issued for public comment a Consultation Draft for an International Framework on governance in the public sector.

The draft Good Governance in the Public Sector encourages better service delivery and improved accountability by establishing a benchmark for good governance in the public sector.

“The function of good governance in public sector entities is to ensure that they act in the public interest at all times,” said IFAC CEO Fayez Choudhury. “This obligation forms the basis for this principles-based Framework and requires a strong commitment to integrity, ethical values, and the rule of law as well as openness and comprehensive stakeholder engagement.”

“The sovereign debt crisis underlined the fact that the public sector plays a major role in society. Public expenditure forms a significant part of gross domestic product and public sector entities are substantial employers and major capital market participants,” added CIPFA Chief Executive Steve Freer. “The impact and the nature of their outputs, as well as their financing through taxation, puts a premium on strong, effective governance.”

The Framework is not intended to replace national and sectoral public sector governance codes. Instead, it is designed as a reference document for those who develop and set national governance codes for the public sector when updating and reviewing their own codes. Where codes and guidance do not exist, the Framework provides a shared understanding of what constitutes good governance in the public sector and a powerful stimulus for positive action.

This Consultation Draft was developed after an initial review of relevant governance literature and with input from a group of representatives from relevant international organizations (the International Reference Group, which is listed in the Framework). Public sector representatives and other stakeholders are encouraged to respond to the proposed Framework to help improve its applicability to entities at all levels internationally.

How to Comment
CIPFA and IFAC invite all stakeholders to comment. To access the Consultation Draft and submit a comment, visit the Publications and Resources section of the IFAC website at www.ifac.org. Comments on the Consultation Draft are requested by September 16,2013.

IFAC President Warren Allen speaks in support of 2013, the year of the accountants, an initiative by the accountancy profession in Brazil and Conselho Federal de Contabilidade and the Instituto dos Auditores Independentes do Brasil

IFAC CEO Ian Ball presents at the Institute of Chartered Accountants of Trinidad & Tobago (ICATT) conference, Staying Ahead of the Curve.

IFAC Board member Masum Turker presents at the HLB International Conference.

Welcome to IFAC's Translations and Permissions eNews.

In This Issue:

1. Ibero-American Cooperation Progresses Spanish Translations
2. Russian Speakers, Standard Setters Convene on Adoption of International Standards
3. Newly Available Translations: January–May 2013
4. What to Watch for—French PAO Development Committee “Toolkit”
5. SMP Quick Poll—Open in 16 Languages
6. Copyright Statements Revised; See Updated T&P Policy Statements

1. Ibero-American Cooperation Progresses Spanish Translations

In October 2012, IFAC and its member bodies in Spain, Mexico, and Argentina formally agreed to establish an Ibero-American Cooperation Framework to collaborate on a long-term, sustainable process for achieving a single, Spanish translation of international standards and IFAC publications (the “IberAm project”). In February, the IberAm project’s Executive Committee held an inaugural meeting to agree on an annual translations plan, formulated following a gap analysis to see what publications had not yet been translated into Spanish.

The Executive Committee also appointed a chair of the Review Committee. Spanish-speaking IFAC member bodies have been invited to nominate candidates from among their membership to fill the five remaining open positions on the Review Committee. Qualified candidates will have sufficient experience in translation and applying international standards, and be well respected both within and outside of the profession. Nominations should be emailed to internacional@icjce.es to the attention of D. Bruno Mayoral. The successful candidates will be appointed and announced in late July.

Under the agreed plan, a Spanish translation of existing standards will be completed by the end of 2013; this includes the International Standards on Auditing and other standards issued by the International Auditing and Assurance Standards Board (IAASB); the Code of Ethics for Professional Accountants; International Education Standards; and International Public Sector Accounting Standards. The 2013 IAASB Handbook is expected to be released in July 2013; under the plan, the goal is to have the Spanish translation available within approximately six months of the English release.

To this end, the three IFAC member bodies have also procured translation memory software as a collaborative tool to help ensure the quality and consistency of the translations and to assist in reducing translation costs. With the software, it is not necessary to translate the same phrase twice. For more information on the advantages of translation memory software, especially as it relates to translation of the international standards and IFAC publications, please contact permissions@ifac.org.

In addition, Instituto Nacional de Contadores Públicos (INCP) – Colombia has agreed to translate IFAC news items into Spanish. See the Spanish News & Events pages to access translated newsletters and press releases. Translations of IFAC Update and Global Digest are available to member designees in the password-protected IFAC Extranet. For more information on Spanish-language or other translations, please visit the IFAC Translations Database.

2. Russian Speakers, Standard Setters Convene on Adoption of International Standards

Representatives from former Soviet republics in Europe and Central Asia gathered last month in London with IFAC, the International Auditing and Assurance Standards Board (IAASB), and the International Accounting Standards Board (IASB) to foster dialogue and cooperation in relation to the development, adoption, and implementation of international standards, in the context of relevant regulatory frameworks.

The two-day conference, hosted by the Association of Chartered Certified Accountants, included meetings with national professional accountancy organizations and the three organizing bodies regarding experiences with the application of International Financial Reporting Standards, adoption and implementation of International Standards on Auditing (ISAs), and quality assurance requirements. The translation of IAASB and IASB pronouncements into Russian and other languages on an ongoing basis was also a significant topic of discussion.

3. Newly Available Translations: January–May 2013

• Bulgarian—Good Practice Checklist for Small Business (2012)
• Chinese—Global Leadership Survey (2011, 2012)
• Czech—Handbook of the Code of Ethics for Professional Accountants (2012)
• Danish—International Standard on Assurance Engagements (ISAE) 3402, Assurance Reports on Controls at a Service Organization (2009); International Standard on Review Engagements 2400, Engagements to Review Historical Financial Statements (2012); International Standard on Auditing (ISA) 610 (Revised), Using the Work of Internal Auditors (2012); ISA 315 (Revised), Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and Its Environment (2012)
• Dutch—ISAE 3402, Assurance Reports on Controls at a Service Organization (2009); Guide to Practice Management for Small- and Medium-Sized Practices, Third Edition (2012)
• French—Guide to Using International Standards on Auditing in the Audits of Small- and Medium-Sized Entities (2012)
• German—Tomorrow’s Firm and the Role of Value Pricing: IFAC Interview with Ronald J. Baker (2013)
• Hungarian—Handbook of the Code of Ethics for Professional Accountants (2010), “Integrating Governance throughout an Organization Helps Achieve Sustainable Success” (2011)
• Korean—The Role of Ethics in Restoring Confidence: Interview with International Ethics Standards Board for Accountants (IESBA) Chair Jörgen Holmquist (2013)
• Latvian—Guide to Quality Control for Small- and Medium-Sized Practices (2011)
• Lithuanian—Guide to Using International Standards on Auditing in the Audits of Small- and Medium-Sized Entities, Third Edition (2011)
• Polish—International Standard on Review Engagements (ISRE) 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity (2012)
• Romanian—Competent and Versatile: How Professional Accountants in Business Drive Sustainable Success (2011), International Good Practice Guidance: Principles for Effective Business Reporting Processes (2013), Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements (2012)
• Russian—Handbook of International Public Sector Accounting Pronouncements (2011)
• Serbian—Guide to Quality Control for Small- and Medium-Sized Practices, Third Edition (2011), Handbook of the Code of Ethics for Professional Accountants (2012)
• Spanish—Guide to Practice Management for Small- and Medium-Sized Practices (2011), International Auditing and Assurance Standards Board eNews March 2013 (2013),March Global Digest (2013), April Global Digest (2013), IFAC Update March 2013 (2013), IFAC Update April 2013 (2013), IESBA eNews April 2013 (2013), SMP eNews April 2013 (2013), International Public Sector Accounting Standards Board eNews April 2013 (2013)
• Swedish—Guide to Practice Management for Small- and Medium-Sized Practices (2011), Guide to Using International Standards on Auditing in the Audits of Small- and Medium-Sized Entities, Third Edition - Volume 2 (2011)
• Turkish—Handbook of International Quality Control, Auditing Review, Other Assurance, and Related Services Pronouncements (2012), Handbook of the Code of Ethics For Professional Accountants (2012), IFAC SMP Quick Poll: 2012 Round-Up (2013)
• Vietnamese—Handbook of International Standards on Auditing and Quality Control (2009)

Access these and additional translations in IFAC’s Translations Database. Check back regularly for updates.

4. What to Watch for—French PAO Development Committee “Toolkit”

Establishing and Developing a Professional Accountancy Body covers the roles and responsibilities of a professional accountancy organization, education and examinations, and capacity development; Tools and Resources to Support the Development of the Accounting Profession includes case studies, practical illustrations, and supplementary guidance. Together they form the Professional Accountancy Organization (PAO) Development Committee “Toolkit,” developed to support PAOs in expanding and strengthening their role and responsibilities. Ordre des Experts Comptables de Tunisie is currently translating the nearly 300-page set into French. Look for access to the completed translation by year end in the Translations Database.

5. SMP Quick Poll—Open in 16 Languages

Are you a practitioner operating in a small- or medium-sized practice (SMP)? Then take the IFAC SMP Quick Poll. This edition of the poll is being conducted in 16 languages—English, Arabic, Chinese, Dutch/Flemish, French, German, Hebrew, Italian, Japanese, Korean, Portuguese, Romanian, Russian, Spanish, Swedish, and Turkish—thanks to the generous translation support of IFAC member bodies. The poll should take only three minutes to complete and is being conducted semi-annually by IFAC in 2013 to take a snapshot of the key issues confronting SMPs and their small- and medium-sized entity (SME) clients. Polling will close on June 21, 2013. Look for the results in the next issue of the SMP eNews (register and subscribe here).

See the results from previous polls on our website (www.ifac.org/SMP): IFAC SMP Quick Polls

6. Copyright Statements Revised; See Updated T&P Policy Statements

IFAC’s Translations & Permissions (T&P) Policies, Policy for Translating and Reproducing Standards Published by the International Federation of Accountants and Policy for Reproducing, or Translating and Reproducing, Publications of the International Federation of Accountants, have been updated to reflect our new copyright statement. Please visit the IFAC website to download the newest forms when requesting permission to translate and reproduce IFAC publications. Requesting permission should be done prior to commencing any translation work, as it helps ensure proper authorization and assistance from IFAC and helps to avoid duplication of effort and resources. Guidelines are also available for use of IFAC graphics and logos on translated publications. If you have any questions, see our FAQs or email permissions@ifac.org.

Today over 175 delegates from 33 professional accountancy organizations in 30 countries convened in Kampala, Uganda, for the seventh annual IFAC Small and Medium Practices (SMP) Forum. Co-hosted with the Institute of Certified Public Accountants of Uganda (ICPAU) and the Pan African Federation of Accountants (PAFA), this year’s event featured a keynote address by Right Honorable Rebecca Kadaga, Speaker of the Parliament of Uganda.

The SMP Forum brings together representatives from the regulatory community, regional and national professional accountancy bodies, standard setters, and thought leaders and experts in their fields to collaborate on solutions to the challenges and pressures facing SMPs, both regionally and globally. This year’s event focused on trends that may impact the growth of small business and the way SMPs deliver their services. In addition to the co-hosts, the event was made possible by the generous support of our gold sponsor, the Association of Chartered Certified Accountants; and silver sponsors, Corpul Expertilor Contabili si Contabililor Autorizati din Romania (CECCAR), Hong Kong Institute of Certified Public Accountants (Hong Kong Institute of CPAs), and Institute of Chartered Accountants in England and Wales (ICAEW).

IFAC CEO Fayez Choudhury noted, “The IFAC SMP Forum is an important event that allows us to learn how we can best support professional accountancy organizations in the development of their SMP members globally. The focus on innovative solutions to the unique challenges SMPs face is essential for helping SMPs to continue to adapt and create value. With this event, we aim to facilitate capacity development, which has long been a focus for IFAC, through the sharing of ideas and best practices on a global platform.”

Naru Thakkar, president of ICPAU, and Dr. Mussa J. Assad, president of PAFA, said, “We are proud to host this year’s SMP Forum with IFAC, as supporting the development of SMPs is at the core of our mission and values. Africa has sustained continued growth over the last fifteen years despite economic volatility and crisis elsewhere in the world. While parts of Africa have seen explosive growth and other areas are still developing, the accountancy profession is crucial to providing a sound financial infrastructure to support both.”

IFAC SMP Committee Chair Giancarlo Attolini added, “The world is changing and standard setters, practitioners, and regulators are responding. There are vast opportunities for SMPs, including internationalization and expanded business lines. Now is the time to position SMPs for growth so that by the time the economic recovery gains more momentum globally, SMPs and the small businesses they serve can lead the way.”

For more information on the IFAC SMP Forum, including the agenda and speakers, see www.ifac.org/2013SMPForum. Presentations will be made available in the week following the event. A Trainers’ Seminar was also held in conjunction with the Forum for a smaller group of attendees.

About PAFA
The Pan African Federation of Accountants (PAFA) was established to accelerate the development of the accountancy profession in Africa and strengthen the voice of the profession within Africa and worldwide. PAFA believes that good governance, accountability, good financial management, and transparency are principal pillars in the acceleration of economic development and reduction of poverty.

About ICPAU
The Institute of Certified Public Accountants of Uganda (ICPAU) is the national body for professional accountants in Uganda. It currently offers two qualifications: the professional qualification  (CPA Uganda) and the accounting technician certificate (ATC). These qualifications are based on IAESB standards thus providing graduates with an excellent foundation of core accountancy skills that meet international benchmarks. ICPAU’s focus is to produce individuals who exhibit professional excellence and integrity, who are committed to service and good governance, and who are socially responsive to the environment in which they operate. 

About IFAC
IFAC is the global organization for the accountancy profession, dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. It is comprised of 172 members and associates in 129 countries and jurisdictions, representing approximately 2.5 million accountants in public practice, education, government service, industry, and commerce.

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AccountacyAge has published an in-depth interview with IFAC’s new CEO, Fayezul Choudhury, which discusses some of his goals as he takes the reins at IFAC.