Professional bodies : global profiles

By Jennifer Hughes

In Chartered Accountants’ Hall, there is a memorial to past presidents of the Institute of Chartered
Accountants in England and Wales (ICAEW). NAmes such as Waterhouse, Coopers, Peat and Young
display the largely British roots of the Profession.

But these days, the ICAEW and other UK accounting bodies are looking overseas. ‘Accountancy is an
international business,’ says Vernon Soare of the ICAEW. ‘We are developing to support our
members and the firms they work in’. Today, there is much talk of partnerships with local institutes
and developing an international reputation for the qualifications they offer.

Over half of the association of Chartered Certified Accountants’ (ACCA) 122.500 members are
registered overseas. ACCA feels that work that helps the standing of the profession across the world
helps its members, even if it is supporting bodies that will eventually become competitors.

Both the ICAEW and the Chartred Institute of Management Accountants (CIMA) are working on
World Bank projects in Bangladesh to develop professional services to support its economy and
business. CIMA is studying the accounting profession and the operations of the Institute of Cost and
Management Accountants of Bangladesh.

CIMA is also establishing joint ventures with a number overseas institutes and lmooking at local
language training. ‘The main part of our growth stratgy is employer-led. We listen to them carefully.
There has been a huge shift in the finance function. Finance processes are being outsourced (to a
variety of countries), so there is an increasing need for common qualifications around the world,’
says Robert Jelly, director of Education at CIMA.

In the UK, the ICAEW has posted Banglsdeshi accountants working towards the Institute’s certificate
in International Financial Reporting Standards (IFRS). These are the accounting rules now accepted or
in the process of being adopted by more than 100 countries. The group includes academics,
regulators and government officials. ‘there are not simply learning the technical side, they are
learning how to teach it and pass it on,’ says Mr Soare. The aim is to develop a stronger accounting
profession in the country to help build a stronger economic system.

Another exciting are is Eastern Europe and Central Asia. The institute of Chartered Accountants of
Scotland (ICAS) is working in Armenia and Kazakhstan to bring together Russian speakers from across
the region to help develop the profession and discuss IFRS.

‘It is a fast-developing part of the world. We have a good reputation in the region due to the
development work we have already done there,’ says Anton Colella, Chief Executive of ICAS. ‘We
want to build strong national institutes. The demands and pressures on the global profession are
increasing, particularly in developing nations, where IFRS and international audit standards are
proving very challenging.’

But all the institutes insist the UK profession is not looking for world domination. ‘there is always
going to be a need for local control. You need to understand local customs, to build groups of
professionals who have loyalty to each other and to their local profession,’ says Neil Wallace,
Director of International Services at ICAS. ‘Take Kazakhstan. It now has a chamber of auditors, and
the profession is developing alongside the economy, something all developing countries need.’
Reading Comprehension : (7 pts)
Answer the questions. Identify the part of the article that gives this
information.
1. How are some of the UK accounting bodies helping to develop the accountancy profession
overseas with local institutes ?

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2. As well as accountancy, which other are of training has CIMA identified as being essential to
overseas accountants ?

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3. What benefits would a well established accounting profession bring to developing

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4. In spite of UK help, what is the most impportant factor in the development of a strong
accounting profession in developing countries, according to Neil Wallace ?

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5. In Which developing region is the accountancy profession becomiong more important ?

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 6. What sort of jobs do the visiting Bangladeshi accountants have ?

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7. What does Anton Colella want to see happening in Eastern Europe ?

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Language : (7pts)
1) Choose the best explanation for each phrase from the article : (2 pts)

I. The main part of our growth strategy is employer-led

2) Find words or phrases in the article which fit these meanings : (5 pts)

1) An area of work that needs advanced education and specific training :

Accountancy ……………………..

2) Official organisations which represent people of a particular profession

Accountancy ………………… / Accountancy …………………

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4) A person or orgonisation chosen by the government to ensure that an industry or system

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5) Official body of auditors, who check that a company’s financial report is true and honest.

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Writing : (6 pts)
Which professional accounting organisations operate in your country ? Are they local or
international ? What are their recrutement requirements ? What advantages do they offer to their
employees ?

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