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IFAC Update

Kelly Ånerud, Deputy DirectorInternational Federation of Accountants

INTOSAI Professional Standards CommitteeManama, BahrainMay 20-22, 2014

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IFAC Operating LinesDeveloping and representing the profession; enhancing economic stability

• Supporting standards development

• Improving quality and capacity

• Supporting the profession• Global representation and

advocacy

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Improving Quality and CapacitySupporting high-quality PAOs and strengthening the profession

• Member Body Compliance Program

• Professional Accountancy Organization (PAO) Development

• MOSAIC

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Supporting the ProfessionProviding thought leadership, resources, and insight; enhancing visibility and voice

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IFAC Key ThemesRepresenting the profession and the public interest

• Government transparency and accountability

• Enhanced organizational reporting (IR)

• Credibility and usability of financial reporting (FRSC)

• Accountants in society

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“Fiscal transparency is a critical element of effective fiscal policymaking and the management of fiscal risks.”

- IMF 2012 report Fiscal Transparency, Accountability, and Risk

Government Transparency and Accountability

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Accountability Now! Initiative

Rebuilding trust in public finances through the adoption and implementation of high-quality public sector accruals-based accounting standards (IPSAS).

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Accountants in Society

Private Sector

Society

Public Sector

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• Updated Memorandum of Understanding

IFAC and INTOSAI Working Together

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• Auditor Reporting continues to be a priority – plans to finalize new and revised standards in 2014

• Work on ISA 720 (Other Information) and disclosures also relevant to public sector

• Strategy for 2015–2019 and Work Program for 2015–2016 – Work on quality control, group audits, financial institutions,

professional skepticism– Monitoring developments in Integrated Reporting and “big data”

International Auditing and Assurance Standards Board (IAASB)

Independent Standard Setting Boards

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• Code of Ethics for Professional Accountants– Principles-based standards– For PAs in in practice and in business (including public sector)

• Global adoption of Code – 120 jurisdictions– have adopted/are in the process of adopting/basing national ethics

standards on/or are working to eliminate differences with the Code– Forum of Firms – 24 largest accounting networks conform policies

and methodologies to the Code for transnational audits

International Ethics Standards Board for Accountants (IESBA)

Independent Standard Setting Boards

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• Revision of IES 8, Competence Requirements for Audit Professionals

• Revision of the IAESB Framework for International Education Standards for Professional Accountants

• Development of Definition of the Professional Accountant• Development of the 2014-2016 IAESB Strategy and Work

Plan

International Accounting Education Standards Board (IAESB)

Independent Standard Setting Boards

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• Governance– Response to Review Group on IPSASB Oversight– Only IFAC standard-setting board currently not subject to

oversight• Conceptual Framework

– Finalization in 2014• Strategy & 2015-2019 Work Plan

– First public consultation on strategy and first full consultation on work plan

International Public Sector Accounting Standards Board (IPSASB)

Independent Standard Setting Boards

www.wcoa2014rome.com

See you in Rome in November 2014

www.ifac.org