International Federation of Accountants REPARIS Workshop on Accounting and Auditing Vienna, March 2006

Mutual Support World Bank participation in IFAC activitiesWorld Bank participation in IFAC activities –Developing Nations Committee –IAASB and Ethics –Public Interest Oversight Board IFAC support forIFAC support for –REPARIS program –ROSC program Strategic Partnerships

Expanding organization of over 160 member bodies in 120 countriesExpanding organization of over 160 member bodies in 120 countries Represents 2.5 million accountants in public practice, education, government service, industry and commerceRepresents 2.5 million accountants in public practice, education, government service, industry and commerce Provides for public interest input and has public oversightProvides for public interest input and has public oversight IFAC Today IFAC’s Role IFAC’s Role

Role of the Profession Input into the development of standardsInput into the development of standards Implementation of standardsImplementation of standards Adherence to ethics and independence requirementsAdherence to ethics and independence requirements Audit of financial statementsAudit of financial statements Input into development of legislation and regulationInput into development of legislation and regulation Role of the Profession

What IFAC Does Support the global development of the professionSupport the global development of the profession Develop international standardsDevelop international standards Encourage compliance and convergenceEncourage compliance and convergence Provide guidance for professional accountants in business and SMPsProvide guidance for professional accountants in business and SMPs Promote values of integrity, transparency and expertise in both private and public sectorsPromote values of integrity, transparency and expertise in both private and public sectors Share in regulation of professionShare in regulation of profession IFAC’s Role IFAC’s Role

Market Economies Accounting ProfessionAccounting Profession InformationInformation ManagementManagement Boards of directors, including audit committees and other relevant board committeesBoards of directors, including audit committees and other relevant board committees Regulators Credit-rating agencies and financial analysts Advisors, including lawyers and bankers Media Investors Elements in a Market Economy Elements in a Market Economy

Strengthening the Profession Assist professional accountancy organizations to identify areas for development and improvementAssist professional accountancy organizations to identify areas for development and improvement Provide tools and support to inform governments and other stakeholders on the importance of a strong professionProvide tools and support to inform governments and other stakeholders on the importance of a strong profession IFAC’s Role IFAC’s Role

Member Body Compliance Program Statements of Membership Obligations (SMOs) serve as the foundationStatements of Membership Obligations (SMOs) serve as the foundation –ISA –IFRS –Ethics –Public Sector Accounting Standards –Education –Quality Assurance –Investigation and Discipline IFAC Compliance Program IFAC Compliance Program

Member Body Compliance Program Part 1 – Fact-based questionnaire on the regulatory and standard-setting framework in a member’s home countryPart 1 – Fact-based questionnaire on the regulatory and standard-setting framework in a member’s home country Part 2 – Self-assessment of compliance with specific requirements of the SMOsPart 2 – Self-assessment of compliance with specific requirements of the SMOs Part 3 – Development and Monitoring of Action PlansPart 3 – Development and Monitoring of Action Plans All responses to be posted on IFAC’s websiteAll responses to be posted on IFAC’s website IFAC Compliance Program IFAC Compliance Program

Member Body Compliance Program Throughout our work we consider:Throughout our work we consider: –The quality of the organizations in IFAC membership –IFAC’s core values of transparency, integrity and expertise IFAC Compliance Program IFAC Compliance Program

Development and mentoring of existing and potential IFAC membersDevelopment and mentoring of existing and potential IFAC members Establishing strong working relationships with Donor CommunityEstablishing strong working relationships with Donor Community Provides input to international standard settersProvides input to international standard setters Produces materials to assist in development of professional accountancy bodiesProduces materials to assist in development of professional accountancy bodies Developing Nations Developing Nations Committee

Recently issued: “Establishing and Developing a Professional Accountancy Body”Recently issued: “Establishing and Developing a Professional Accountancy Body” –Provides practical guidance and examples –Assists in identifying priorities for developing organizations Developing Nations Developing Nations Committee

International Federation of Accountants