The evolving global regulatory environment and its role in improving growth, investment, and stability is the subject of a new International Federation of Accountants^® (IFAC^®) discussion paper launched today, From Crisis to Confidence: the Role of Good Regulation.

Published ahead of a roundtable in Hong Kong on December 8, 2015, the paper focuses on the importance of globally consistent “good regulation” to underpin confidence in the global economy. It examines the impact, benefits, and costs of the current regulatory landscape, and compares internationally recognized principles of good regulation.

“Good regulation is essential to the fairness, efficiency, and effectiveness of economies. Making regulation work in the public interest is a never-ending mission,” said Fayezul Choudhury, IFAC Chief Executive Officer. “Our discussion paper will facilitate a focused conversation on how regulatory responses to financial crises have played out, where the issues stand today, and what the lessons are.”

The roundtable in Hong Kong will bring together senior representatives of the regulatory, government, professional, investor, business, and academic communities.

“During the immediate pressure of crisis decision making, such reflection is not always possible,” said Mr. Choudhury. “Taking stock now is essential. Strengthening the global financial system’s capacity to anticipate, respond, and collaborate is paramount—especially before the next inevitable shock to challenge the global economy.”

IFAC is seeking written comments from the research community on key regulatory issues including: What has been achieved, what is working well, and what problems are emerging? What are the main costs and impacts? What is good regulation? Please contact Amir Ghandar, Senior Policy Adviser, Public Policy and Regulation, at AmirGhandar@ifac.org for more information.

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 more than 175 members and associates in more than 130 countries and jurisdictions, representing over 2.8 million accountants in public practice, education, government service, industry, and commerce.

The International Federation of Accountants^® (IFAC^®) and Fédération Internationale des Experts Comptables et Commissaires aux Comptes Francophones (FIDEF), an acknowledged grouping of French-speaking accountancy bodies, have signed a Memorandum of Understanding (MoU) to establish a cooperation framework to achieve longer-term, sustainable processes for French translations of international standards and other IFAC publications. The agreement was commemorated with a formal signing ceremony in connection with the IFAC Council meeting held in Singapore on November 11, 2015. French is a significant language for translations as it is spoken by about 274 million people around the world and is an official language in 29 countries. The MoU will enable creation of high-quality, up-to-date, sustainable French-language translations of the international standards and other agreed-upon IFAC publications, and enhance adoption and consistent implementation of international standards in the French-speaking world.

For an overview of translations of IFAC’s publications, visit the IFAC Translations Database.

The International Federation of Accountants^® (IFAC^®) has published in the Russian language the 2014 edition of the International Auditing and Assurance Standard Board^® (IAASB^®) Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements, Volume I. This Russian translation was performed by the National Organization for Financial Accounting and Reporting Standards Foundation “NOFA Foundation.” To ensure wide acceptability of the translation, it was reviewed by a committee consisting of experts from the Russian Federation as well as from Belorussia, Kazakhstan and Kyrgyzstan.

For an overview of translations of IFAC’s publications, visit the IFAC Translations Database.

The International Federation of Accountants^® (IFAC^®) Nominating Committee issued today the Call for Nominations for the IFAC Board and Committees in 2017 along with the companion guide, Developing a Nominations Strategy. The Call for Nominations sets out the upcoming opportunities for membership on the IFAC Board, Compliance Advisory Panel (CAP), and four committees—Professional Accountancy Organization (PAO) Development Committee, Professional Accountants in Business Committee (PAIBC), Small and Medium Practices Committee (SMPC), and Nominating Committee.

For 2017, there are 29 vacancies on the Board and committees, including two leadership positions due to expiring terms—IFAC Deputy President and SMPC Chair.

The Nominating Committee is looking for a senior and highly respected member of the profession who is committed to IFAC’s mission and strategy to fill the position of Deputy President.  After two years of service, the Deputy President is expected to stand for the office of IFAC President, with an estimated time commitment of 60 percent to 80 percent of a full-time position. Therefore candidates should be prepared for a significant time and travel commitment over the four-year period.

All vacancies on the Board and committees are open for nominations by IFAC member organizations.

“Volunteers are central to IFAC’s effective functioning, and that of its committees,” said Nominating Committee Chair Olivia Kirtley. “We are indebted to them for their time and commitment to the accountancy profession and the public interest. We thank all our member organizations for their continued support and look forward to receiving their nominations.”

The Nominating Committee encourages all IFAC member organizations to review the Call for Nominations, including the detailed information regarding open vacancies, composition targets, specific membership qualifications, and requirements. The Call also offers strategic guidance in selecting candidates, including identifying the most qualified nominee for each available position.

Nominations can be submitted online via the Nominations Database  by February 15, 2016. Please note the earlier deadline compared to prior years to allow the Nominating Committee additional time to review all nominations prior to its first meeting. 

Additional information on the Nominating Committee and its open, transparent process is available on the Nominating Committee web page.

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 more than 175 members and associates in 130 countries and jurisdictions, representing approximately 2.8 million accountants in public practice, education, government service, industry, and commerce.

The accountancy profession is strongly linked to national economic growth and improved living standards, and it contributes USD $575 billion annually to the global economy, according to a report by the International Federation of Accountants^® (IFAC^®), the global organization for the accountancy profession.

Fayez Choudhury, IFAC Chief Executive Officer, said, “This report highlights the scale of the profession’s importance to the global economy. It confirms a particularly exciting economic opportunity in the rapidly developing Asian and South American regions. And the findings verify the profound importance of IFAC’s mission—and that of the global profession—to help strengthen accountancy capacity in developing countries, where accountants have a significant role to play in strengthening the institutions and architecture that will improve peoples’ lives.”

For the first time, IFAC has definitively linked a strong accountancy profession to improved living standards for citizens.

Launched at the Singapore Accountancy Convention today, Nexus 2: The Accountancy Profession—A Global Value Add, a study conducted by the independent Centre for Economics and Business Research (Cebr), found that:

• Global regions with a higher share of accountants in total employment have a higher per capita GDP.
• The correlation between the share of accountants in total employment and the UN Human Development Index (HDI) is even stronger. The HDI measures a number of indicators including life expectancy, years of schooling, and income.
• The global accountancy ecology—which includes members of IFAC professional accountancy organizations (PAOs) as well as people who identify their roles as accountancy or accountancy support—contributes an estimated $575 billion gross value added (GVA) annually to the global economy and, of this amount, IFAC PAO members contribute 43%.
• Highly developed countries in North America and Europe dominate the GVA of the global accountancy ecology; Asia’s contribution is third highest.
• There are 640,000 members of IFAC PAOs in Asia—but with an estimated 2.6 million accountants employed in Asia in 2013, a significant opportunity exists to strengthen the profession in a unified voice.

“Professional accountants contribute to better information, reporting, measurement and decision making. When nations have a robust system to track the flow of money in government, within businesses, and between organizations, transparency and accountability are improved, organizations are strengthened, and economies are enhanced,” Mr. Choudhury said.

A panel of leading regional and global figures in the accounting profession presented the report’s findings to an audience comprised of leaders in the public and private sectors.

Methodology
Cebr calculated the gross value added (GVA) of the accountancy sector using official datasets, or where data was poorer, by comparing average wages and then computing GVA per capita across the economy.

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 more than 175 members and associates in 130 countries and jurisdictions, representing over 2.8 million accountants in public practice, education, government service, industry, and commerce.

About Cebr:
Centre for Economics and Business Research Ltd (Cebr) is an independent consultancy with a reputation for sound business advice based on thorough and insightful research. Since 1992, Cebr has been at the forefront of business and public interest research, providing analysis, forecasts and strategic advice to major UK and multinational companies, financial institutions, government departments and agencies, trade bodies and the European Commission.

The International Federation of Accountants^® (IFAC^®), the global organization for the accountancy profession, today announced its new Board members and associates, decided at its annual Council Meeting.

Four members were elected to IFAC’s Board: Bill Balhoff (United States), Alan Johnson (United Kingdom), Terence Nomembe (South Africa), and Dr. Zhiguo Yang (China). The IFAC Council also re-elected: Carol Bellringer (Canada), Norunn Byrkjeland (Norway), Pamela Monroe Ellis (Jamaica), and Prof. In-Ki Joo (Republic of South Korea).

Welcoming the new Board members, IFAC President Olivia F. Kirtley said, “Through our global membership, IFAC represents nearly three million professional accountants who work in the public interest to strengthen organizations and enhance the global economy. The new and re-elected Board members represent the depth and breadth of the profession’s talent, as well as its diversity.”

The IFAC Council also voted to admit new associates from Africa and Asia:

• Ordre des Experts Comptables et Comptables Agréés du Burkina Faso (ONECCA-BF)
• The Vietnam Association of Certified Public Accountants (VACPA)

IFAC Chief Executive Officer Fayez Choudhury said: “It is with pleasure that we welcome, after a comprehensive admission process, these IFAC associates. Our new associate from Burkina Faso is the first professional accountancy organization from that country to join IFAC, while VACPA is the second organization to join from Vietnam. We welcome them into the global profession and look forward to working together to advance IFAC’s mission of supporting global economic growth and development.”

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 over 175 members and associates in 130 countries and jurisdictions, representing approximately 2.8 million accountants in public practice, education, government service, industry, and commerce.

To facilitate the contribution of professional accountants to integrated thinking—and help align capital allocation, corporate behavior, financial stability, and sustainable development—the International Federation of Accountants^® (IFAC^®), the global organization for the accountancy profession, today published Creating Value with Integrated Thinking: The Role of Professional Accountants.

The thought paper sets out a vision for integrated thinking and explores what professional accountants working in the public and private sectors can do in practical terms to facilitate it in their organization, regardless of whether their organization is planning to publish an integrated report. It identifies five key elements, which, if implemented, can lead to more effective organizations. This ultimately provides the basis for shifting from today’s financially oriented reporting to integrated reporting.

“Integrated reporting continues to gain global momentum and help change the way businesses think about creating value over time. But it is integrated thinking that will ultimately change corporate behavior and lead to more resilient organizations and greater trust in business and government,” said IFAC CEO Fayez Choudhury. ”Professional accountants—as business partners involved in organizational leadership and decision support—can use integrated thinking as a means of engaging those beyond the finance and accounting departments to facilitate resilient organizations that create value over the short, medium, and long term.”

The thought paper reflects integrated thinking as we understand it today, given that this is a period of experimentation for many organizations. It explores what integrated thinking involves, as well as its challenges and how they can be overcome, and advances a meaningful understanding of its role and power. Notably, the publication also discusses how integrated reporting both improves and is improved by integrated thinking.

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 more than 175 members and associates in 130 countries and jurisdictions, representing approximately 2.8 million accountants in public practice, education, government service, industry, and commerce.

The Call for Nominations for the Independent Standard-Setting Boards in 2017 was issued today. The Call sets out the upcoming opportunities for membership on the International Auditing and Assurance Standards Board^® (IAASB^®), International Accounting Education Standards Board™ (IAESB™), International Ethics Standards Board for Accountants^® (IESBA^®), and International Public Sector Accounting Standards Board^® (IPSASB^®).

For 2017, there are 22 vacancies on the independent standard-setting boards. Vacancies on the boards are open for nominations by all stakeholders, including professional accountancy and international organizations, governmental agencies, firms, and the public. Nominations of non-accountants for the public member vacancies are strongly encouraged. Travel support is available to qualified candidates from developing nations, self-nominees, and public members.

Candidates should have knowledge of the subject matters considered by a particular board, as well as English proficiency.  Each board meets up to four times per year and the required time commitment is approximately 200 to 800 hours per year, depending on the board, including preparation and travel time.  Although each candidate will ultimately be selected based on experience, nominations of highly qualified candidates from Africa, Middle East, and Latin America are strongly encouraged. Nominations of female candidates are particularly welcome.

Nominations can be submitted through the Nominations Database. All nominations should be submitted before January 31, 2016.

To provide nominating organizations and nominees with some insights on the nominations process and the value of serving on the standard-setting boards, the following documents are available on the Nominating Committee webpage: Developing a Nominations Strategy, and Giving Back to the Profession: The Value of Serving.  

The Nominating Committee follows an open and transparent process to select the most suitable candidates for the available positions, while also aiming to achieve gender, regional, and professional balance. For more information about the Nominating Committee, its due process, or guidance in selecting the best candidate, please visit the Nominating Committee web page.

About the IAASB
The IAASB develops auditing and assurance standards and guidance for use by all professional accountants under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IAASB, and the IAASB Consultative Advisory Group, which provides public interest input into the development of the standards and guidance. The structures and processes that support the operations of the IAASB are facilitated by IFAC.

About the IAESB
The IAESB develops education standards and guidance for use by IFAC member organizations under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IAESB, and the IAESB Consultative Advisory Group, which provides public interest input into the development of the standards and guidance. The structures and processes that support the operations of the IAESB are facilitated by IFAC.

About the IESBA
The IESBA develops ethics standards and other pronouncements for professional accountants worldwide under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IESBA, and the IESBA Consultative Advisory Group, which provides public interest input into the development of the standards and other pronouncements. The structures and processes that support the operations of the IESBA are facilitated by IFAC.

About the IPSASB
The IPSASB develops accounting standards and guidance for use by public sector entities. It receives support (both direct financial and in-kind) from the World Bank, the Asian Development Bank, the Chartered Professional Accountants of Canada, the South African Accounting Standards Board, and the governments of Canada, New Zealand, and Switzerland. It receives advice from the Public Interest Committee, which promotes the public interest in the IPSASB’s standard-setting activities. The structures and processes that support the operations of the IPSASB are facilitated by IFAC.

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 more than 175 members and associates in 130 countries and jurisdictions, representing approximately 2.8 million accountants in public practice, education, government service, industry, and commerce.

“International Federation of Accountants,” “IFAC,” “International Auditing and Assurance Standards Board,” “IAASB,” “International Accounting Education Standards Board,” “IAESB,” “International Ethics Standards Board for Accountants,” “IESBA,” “International Public Sector Accounting Standards Board,” “IPSASB,”  the IAASB logo, the IAESB logo,  the IESBA logo, the IPSASB logo, and the IFAC logo are trademarks or registered trademarks of IFAC in the US and other countries.

The International Federation of Accountants^® (IFAC^®), the global organization for the accountancy profession, today released an updated Companion Manual, which has been revised to include the recently launched Guide to Compilation Engagements. The Companion Manual provides member bodies and other professional accountancy organizations with guidance on how they can make the best use of four implementation guides produced by IFAC’s Small- and Medium-sized Practices (SMP) Committee: Guide to Quality Control for Small- and Medium-Sized Practices (QC Guide), Guide to Using International Standards on Auditing in the Audits of Small- and Medium-Sized Entities (ISA Guide), the Guide to Review Engagements, and the Guide to Compilation Engagements. This includes reproducing, adapting, translating, or incorporating the guides into continuing professional development (CPD) courses and/or training programs.

The Companion Manual also includes a new orientation PowerPoint slide deck on the Guide to Compilation Engagements to introduce users to the value and benefits of compilation engagements, key elements in the Guide, and highlights from a practitioner perspective. Member bodies may have access to the slides for use in training and CPD courses. Email permissions@ifac.org for access.

The four guides provide non-authoritative guidance on applying ISQC™ 1, ISA™, ISRE™ 2400 (Revised), and ISRS™ 4410 (Revised), developed exclusively by the International Auditing and Assurance Standards Board^® (IAASB^®), and are intended as a supplement to help practitioners apply the standards consistently and effectively when developing their quality control systems and performing audit, review, and compilation engagements for small- and medium-sized entities (SMEs). See the IAASB Handbook for access to the standards ISQC™ 1 ISA™, ISRE™ 2400 (Revised), and ISRS™ 4410 (Revised).

The Guides can be downloaded from the SMP area of the IFAC website.

Download the Companion Manual.

The International Federation of Accountants^® (IFAC^®) has today submitted 12 recommendations for endorsement by the Group of Twenty (G-20), urging action on issues impacting the G-20 priorities of robust, inclusive growth.

“Quite a bit has been achieved through the G-20’s leadership under the substantial pressures of the global financial crisis—but now is no time for complacency,” said Fayezul Choudhury, IFAC’s Chief Executive Officer.

IFAC’s 12 recommendations focus on:

• Good governance and regaining trust in key public and private sector structures, frameworks, and organizational and regulatory arrangements;
• Globally consistent, good regulation, that enables, promotes, and does not hamper growth and good governance;
• Resolving poor financial management, transparency, and accountability that persists in many G-20 countries and beyond; and
• A transparent, fair, and effectual international taxation system, and the need for collaboration and inclusiveness in implementing reforms.

“We’re at a crucial juncture—growth continues to wane or completely elude economies around the world despite massive, unsustainable monetary stimulus since the global financial crisis. A complex, fragmented regulatory environment is emerging, and there is no clear sight of how this is impacting growth,” said Mr. Choudhury.

Approximately two-thirds of respondents to IFAC’s 2015 Global Regulatory Survey, a study of accounting, finance, and business professionals worldwide, said regulation is having a significant or very significant impact on their organizations’ opportunities to grow and innovate.

In addition to an urgent assessment of the evolving regulatory environment, IFAC’s recommendations include that the G-20 promote development and adoption of clear principles for high quality regulation, and that it issues a clear call for the adoption and implementation of international accounting and auditing standards.

“The public’s trust and confidence in government is at the heart of achieving robust, inclusive growth. Poor public sector financial management, accountability, and transparency remain significant problems in many countries—resolving this is long overdue,” said Mr. Choudhury.

IFAC recommends that the G-20 commission urgent and fundamental work toward changes needed in the public sector to protect the public and investors in government bonds, promote greater transparency and accountability, and actively encourage and facilitate accrual-based accounting by governments and public sector institutions.

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 more than 175 members and associates in 130 countries and jurisdictions, representing over 2.8 million accountants in public practice, education, government service, industry, and commerce.