Untitled - Confederation of Asian and Pacific Accountants

F R O M T H E W O R L D O F A C C O U N T A N C Y 

CAPA Strategy Planning Session Confirms CAPA’s Commitment to 

Accountancy Development in the Asia-Pacific Region 

The CAPA Board met in Manila on 28-29 September to consider 

the strategic directions for the Confederation. 

The Strategy Planning Session was sponsored and hosted by 

the Asian Development Bank (ADB) at its headquarters. 36 

representatives from 11 countries participated, coming as far from 

New Zealand, India and Japan. The ADB engaged John Petty, 

National Vice President of CPA Australia as the facilitator of the 

strategy planning session. 

The meeting confirmed CAPA’s commitment to both representing 

members in the development of global standards as well as to assist 

in the development of accounting professional bodies in the region. 

This incorporates the development of education, accounting and 

business services for small and medium sized enterprises (SME). 

CAPA acknowledge there are vast differences in the sizes and 

needs of SMEs in the region. As most of the SME in the region 

consist of micro-SME companies, CAPA plans to embark on 

a guidance project to address the applicability of standards for 

micro-SME needs. 

Unfortunately on the first day of the meeting, typhoon “Milenyo” 

(international name: Xangsane) brought Metro Manila to a 

near-standstill with all flights canceled. It was reported to be the 

strongest typhoon to hit Metro Manila directly in 11 years. The 

ADB headquarters were closed and we had to make last-minute 

arrangements to shift the meeting venue to the Discovery Suite 

hotel, where most of the delegates were staying. The second day 

of the session was held in ADB headquarters, as planned. 

However despite disruption of travel plans and some of the meeting 

being held in the dark, all agenda items were fully addressed. 

The purpose of the strategy planning session to develop a forward 

strategy for CAPA and to engage leaders of the profession in 

providing input to CAPA’s strategic thinking over the short 

and medium period. In the session, key future challenges, 

CAPA strategic positioning issues and SWOT action plans were 

addressed. 

Arising out of the strategy planning session, the participants came 

up with 13 Strategic Projects Action Plans. These plans cover a 

wide range of projects covering Developing Nations Capacity 

Building, Reinforcing CAPA’s International and Regional 

Relationships, CAPA as the “Voice of the Region” to Facilitating 

Accounting Profession Development in Emerging Markets. All 

these projects will be brought up to the CAPA Board meeting in 

Istanbul on November 11, 2006 for further consideration. 

During the strategy planning session, CAPA President, Shozo 

Yamazaki had a meeting with the ADB President, Haruhiko 

Kuroda. The CAPA leaders also met with Vice President 

Greenwood, Operational Vice President responsible for Southeast 

Asia, East and Central Asia and South Pacific and also Vice 

President Jin who is responsible for Central and West Asia and 

South Asia operations. These meetings enabled CAPA to share 

its mission and achievements with the ADB. 

The ADB also hosted the various sub-committee meetings of 

CAPA which was held the next day, following the CAPA Strategy 

Planning Session. 

The CAPA leaders also took the opportunity to make a friendly 

visit to the Philippine Institute of Certified Public Accountants 

(PICPA) office. At the PICPA office, they were welcomed with 

warm Filipino hospitality and enjoyed the discussions with Manuel 

Pascual, PICPA President and PICPA fellow Council members. 

Among the PICPA Council members were Carlos R. Alindada, 

CAPA Past President, Pio Baconga, PICPA Vice President and 

David Balangue, former PICPA Representative on the CAPA 

Board.


Day 1 of the Strategy Planning Session. 

Participants on day 1 of the Strategy Planning Session. 

Day 2 of the Strategy Planning Session. 

Participants on day 2 of the Strategy Planning Session. 

CAPA officers meeting with ADB Vice President 

Liqun Jin (2nd from left) 

(CAPA officers L to R) CAPA Deputy President - 

Kamlesh Vikamsey, CAPA President - Shozo Yamazaki and 

CAPA Chief Executive - Leong Chew Poon. 

CAPA officers meeting with ADB Vice President 

C. Lawrence Greenwood, Jr (3rd from left)


Plaque of Appreciation presented by CAPA President 

Shozo Yamazaki to Kathleen Moktan, Director, 

Capacity Development and Governance Division 

Regional and Sustainable Development Department 

of the ADB 

CAPA President presenting a gift to John Petty, 

facilitator of the Strategy Session 

Plaque of Appreciation to Manuel Pascual, PICPA President 

presented by CAPA President


Participants of the CAPA Strategy Planning Session 

(Bottom row L to R) Lala Chan, Manuel Pascual, Kathleen Moktan, Taesik Suh, Leong Chew Poon, Shozo Yamazaki, Kamlesh Vikamsey, Douglas Oxley, 

V.C. Kothari, Susela Devi, Peter Lim. 

(Middle row L to R) Kiyoshi Ichimura, Ed. De Guia, Anouj Mehta, Roy Tiffin, Lucia Real-Martin, Yohan Perera, K.G. Goyal, In-Ki Joo, Khoo Mei Leng, 

Francisco Gonzalez. 

(Top row L to R) Portia Gonzales, Lizzette Francisco, Geoff Brayshaw, Patrick Tam, Zhang Ge, John Petty, Pio Baconga, Abdul Rahim Hamid, Ben Morais, 

Andrew Head. 

(L to R) CAPA Past President Carlos R. Alindada, 

CAPA Deputy President - Kamlesh Vikamsey, ADB Consultant - John Petty, 

CAPA Chief Executive - Leong Chew Poon and 

CAPA President - Shozo Yamazaki 

CAPA Officers visiting PICPA’s Office


CAPA supports the IFACnet 

CAPA supports the International Federation of Accountants 

(IFAC) in the development of IFACnet – A KnowledgeNet for 

accountants in business. This new global resource will provide 

one-stop access to leading-edge articles, good practice guidance, 

and tools and techniques for accountants employed in commerce, 

industry, the public sector, education and the not-for-profit 

sector. 

IFACnet is developed under the leadership of the Professional 

Accountants in Business (PAIB) Committee. “Users of IFACnet 

will find relevant information on a wide range of financial and 

management accounting topics, including strategy, budgeting 

and planning, corporate governance, risk management, and 

professional development emphasis,” points out Bill Connell, 

Chair of the IFAC PAIB Committee. 

Thirteen accountancy organisations together with IFAC currently 

participate in the KnowledgeNet by sharing their electronic 

resources through IFACnet and others will be included over the 

next few months. In addition, during the first quarter of 2007, the 

KnowledgeNet will be expanded to serve the needs of small and 

medium practices and by the end of 2007 will offer customised 

information for broader audiences of accountants. 

IFACnet uses advanced technology specifically tailored to the 

accountancy profession. It carefully indexes, filters and sifts all 

the best and most relevant items of information available for 

accountants in business worldwide so they can be delivered 

on demand to IFACnet.com users. The technology supporting 

IFACnet has been developed by Indez, a software company based 

in Glasgow, Scotland. It features an enterprise search engine that 

is based on patented search technology. 

There is no fee to use IFACnet, although certain search results may 

identify documents or publications available for purchase. 

CAPA members can access the IFACnet through the CAPA 

website on www.capa.com.my 

17th CAPA Conference - Osaka, Japan 

the “Grand Cube Osaka”. 

T h e 1 7 t h C A P A 

Conference will be held 

on October 3-5, 2007, 

hosted by the Japanese 

Institute of Certified Public 

Accountants (JICPA). 

The venue for CAPA 

Osaka 2007 will be Osaka 

International Convention 

Center or better known as 

The chosen main theme of CAPA Osaka 2007 conference is “How 

Professional Accountants can develop the Asian Economy”. 

By providing a measure of assurance regarding corporate, financial 

and environmental information, professional accountants 

collectively function as a platform for the development of national 

economies. The current point in time, when the Asian economy 

has the potential for continuing future expansion, is an ideal 

juncture at which to review the impact of the work of professional 

accountants on the economies of their respective countries, and 

ways in which accountants can contribute to economic growth. 

Aki Fujinuma, Chairman and President of JICPA remarked that, 

‘This conference commemorates the 50th anniversary of the 

first CAPA conference which was held in Manila, Philippines in 

1957. Forty years have passed since Japan hosted the 3rd CAPA 

Conference in 1962. The number of accounting professionals in 

Japan is growing, and our role in the Japanese and world economies 

is only becoming more important.’ 

Simultaneous translation (Japanese-English) will be available 

at the conference. Simultaneous translation to other languages 

could also be arranged if the number of delegates requiring that 

language is sizeable. 

On the evening of October 4, 2007, the JICPA will host a formal 

dinner entitled “Japan Night” that will be held in Rihga Royal


17th CAPA Conference - Osaka, Japan 

Hotel Osaka. The Farewell party on October 5, 2007 will be held 

at the Universal Studio Japan. 

To register your interest in this conference, please log-in to this 

website http://www.capaosaka.com 

MEMBERS UPDATES 

AUSTRALIA 

Number One Channel For Reaching Accountants 

As number one in numbers, the Institute of Chartered 

Accountants in Australia has been counting down the days 

to the launch of its new website www.charteredaccountants. 

are logging on globally 24/7. They are heavily reliant upon online 

communication and we want to ensure they are access relevant 

information in the simplest possible way,” he said. 

com.au, which is available from Friday 29 September 2006. 

From the homepage there is a straightforward single login for 

The Institute has redesigned and repositioned its website, given 

that more than 80 per cent of its members are using the website 

as their primary communication and reference resource for 

accounting and audit information. 

members and candidates. Once logged in, a dashboard appears 

that has been personalised for the browser allowing members to 

access and manage their accounts, subscriptions and entitlements 

or browse information relevant to their industry. 

The Institute’s CEO Graham Meyer said the new website followed 

a major research project analysing the former site, which revealed 

To preview the new website, visit www.charteredaccountants. 

com.au today. 

the significance of the website to the Institute’s members and the 

need to modernise the look and usability of the site. 

(Extracted from ICAA Website) 

”Our members are located in 1090 cities around the world and 

CPA Australia Invigorates Public Practice 

CPA Australia is introducing a range of new initiatives, which 

will become effective 1 January 2007, to support members 

in public practice and create new pathways for members 

considering public practice as a career option. 

• Public practice members who earn between $7,500 and 

$25,000 per year will be able to take advantage of a new 

concessional Public Practice Certificate (PPC), to be known as 

a Limited Practice Certificate (LPC). The LPC incurs a low 

annual fee of $50 and will result in lower Professional 

These initiatives include: 

1. Making public practice more accessible for members 

Indemnity insurance costs. The LPC will help those 

members who wish to establish a new practice or begin


AUSTRALIA 

transitioning out of their current practice by reducing some 

of the associated fees of holding a PPC. 

• The requirements for members to hold a PPC will only apply 

when a member earns more than $25,000 per annum 

(previously $7,500 per annum). 

2. Reducing Public Practice Certificate (PPC) fees 

• PPC annual fees will be reduced by 65 per cent; from $314 

to $110. 

• The application fee for a PPC will be abolished. Previously, 

the fee was $135. 

• Members who are unsure whether they want to make a career in 

public practice will be able to enrol in the Public Practice 

Distance Learning Program (to be renamed Practice 

Management Distance Learning Program) and be able to 

obtain a LPC, leaving the door open to obtaining a PPC by 

completing the Public Practice Program within five years. 

Members who only want to provide part-time services 

and do not plan to earn more than $25,000 per annum 

from public accounting services can complete the Limited 

Practice Management Distance Learning program. 

3. Enhancing CPA Australia branding 

New branding guidelines and contemporary certificates for public 

display will be distributed in the next month to all current PPC 

holders. 

The branding guidelines have been revised to encourage public 

practice members to maximise their branding as a CPA Australia 

practice and benefit from the recognition it enjoys. The revisions 

include more flexible use of the Public Practice logo on member 

stationery, new guidance on the use of the logo in advertising 

and more. 

(Extracted from CPA Australia Website) 

Institute Launches New Mentoring Program 

September 11, 2006 - The Institute of Chartered Accountants in 

Australia (ICAA) announced a new Practical Experience program 

which makes on-the-job mentoring a key element of becoming a 

Chartered Accountant. 

to meet the International Federation of Accountants recently 

released standard that requires a structured, competency-based 

approach to developing the practical knowledge, skills and values 

of a professional accountant. 

The structured three-year Practical Experience program is 

undertaken in conjunction with two years formal study in the 

Chartered Accountants Program, after which graduates are 

awarded the Graduate Diploma of Chartered Accounting. 

“Mentoring has been found to have a positive effect on career 

growth and staff retention in the workplace. Working with a 

mentor in real situations helps candidates build confidence and use 

their knowledge and skills to solve problems, and make informed 

decisions,” said Sheena Frenkel, General Manager Chartered 

Accountants Program and Admissions, ICAA. 

This new approach to Practical Experience is being launched 

Candidates starting the Chartered Accountants Program from 

October this year, will track the attainment of key workplace 

competencies using an activity logbook, which they will review 

quarterly with their mentor. All resources, including the logbook, 

have been designed so that they can be easily integrated within 

an organisation’s existing staff performance system. 

The Institute completed a three-month pilot of the new program 

with 24 candidates and mentors in March this year to ensure 

the framework was user-friendly, flexible and clearly delivered 

additional benefits to candidates, enhanced mentors’ skills and 

added value to the profession.


AUSTRALIA 

Research suggests that while training alone improves productivity, 

when coupled with the support of a mentor and the on-the-job 

transfer of learning, it can achieve three times as much. 

(Extracted from ICAA Website) 

BANGLADESH 

ICMAB to Assess Elevation of its Professional Standard 

September 23, 2006 - The Government of the People’s Republic 

of Bangladesh has undertaken a Project entitled “Strengthening 

Accounting and Auditing Standards and Practices in the 

perspective of the main stakeholders, a three-member team headed 

by the immediate past president of the CIMA of the United 

Kingdom, Roland Kaye visited the Institute. 

Corporate Sector”, to assess the need to elevate Institute of 

Cost and Management Accountants of Bangladesh’s (ICMAB) 

professional standard to a global level under a World Bank 

financed project. 

The executing agency of the project is the Ministry of Commerce 

of Bangladesh and ICMAB, an institute under the Ministry of 

Commerce is the beneficiary of the project. 

The CIMA (UK) will assist ICMAB in developing its capacity 

One of the components of this project is to develop a twinning 

arrangement between the Chartered Institute of Management 

in order to function as a world-class management accounting 

professional body. 

Accountants (CIMA) and the ICMAB. Under the twinning 

arrangement, technical experts from CIMA will assist ICMAB 

in developing its capacity in order to function as a modern 

management accounting professional body. 

The other members of the team were CIMA Director (International 

Development) Kathy Grimshaw and its Project Specialist 

(International Development) Beth Dowle. 

To establish the exact requirements for the project from the 

CANADA 

Internal Control Certification 

The Risk Management and Governance Board of the Canadian 

Institute of Chartered Accountants commissioned two documents 

statements for external purposes in accordance with the issuer’s 

GAAP.” 

to help CEOs and CFOs and Boards of Directors to fulfill their 

responsibilities regarding Internal Control over Financial 

Reporting (ICFR) and the related CEO and CFO certification 

requirements that are effective in 2006. 

The CEO and CFO certificates are also required to state that “any 

change in the issuer’s internal control over financial reporting 

that occurred during the issuer’s most recent interim period that 

has materially affected, or is reasonably likely to materially affect, 

In their annual certificates for 2006, CEOs and CFOs of companies 

listed in Canada will have to certify that they are responsible 

the issuer’s internal control over financial reporting” is disclosed 

in the MD&A. 

for establishing and maintaining both disclosure controls and 

procedures (DC&P) and internal control over financial reporting 

(ICFR), and that they have “designed such internal control over 

financial reporting…to provide reasonable assurance regarding the 

reliability of financial reporting and the preparation of financial 

The CSA plans to further expand the CEO/CFO certification in 

the future to include a certification on the operating effectiveness 

of ICFR, but separate auditor attestation about ICFR is no longer 

expected under Canadian requirements. 

10


CANADA 

THE PUBLICATIONS 

• Internal Control 2006: The Next Wave of Certification. 

Guidance for Management 

This publication provides CEOs and CFOs (and other 

management) with a top down, risk-based process to 

follow in certifying the design of ICFR, including a 

methodology for assessing ICFR design weaknesses and 

deciding on necessary disclosures. Where appropriate, 

the challenges of ICFR design (and related certification) 

for small issuers are acknowledged and additional 

guidance is provided where possible. 

• Internal Control 2006: The Next Wave of Certification 

Guidance for Directors 

This publication provides help to audit committees and 

boards of directors on ICFR and the related certification 

processes. Audit committees have a direct interest in 

the certification process because CEOs and CFOs 

are required to disclose their conclusions about DC&P 

and provide details about changes in ICFR in the 

Management Discussion and Analysis (MD&A). 

The MD&A is a “core document” under Ontario’s 

legislation for civil liability for secondary market 

disclosure legislation, and one which audit committees 

are required to review and boards to approve. 

Audit committees, therefore, must satisfy themselves that 

these control-related disclosures are complete and properly 

described. It is important that directors fully understand 

the role of ICFR in ensuring reliable financial reporting, 

and important steps they should take to discharge their 

responsibilities for internal control and external 

disclosures and demonstrate they have done so. 

(Extracted from CICA Website) 

CGA-Canada’s Independence Standard Responds to the Need 

for Increased Transparency 

Vancouver, B.C., July 25, 2006 – The Certified General 

Accountants Association of Canada (CGA-Canada) welcomes 

the Canadian Public Accountability Board’s (CPAB) decision 

to accept the CGA Independence Standard, giving effect to the 

required rule change as of June 20, 2006. 

“CGA-Canada is responsible for setting professional standards for 

its members and has an obligation to protect the public and ensure 

CGAs maintain the highest ethical standards,” says Anthony 

Ariganello, FCGA, CPA (Delaware), President and Chief 

Executive Officer of CGA-Canada. “The CGA Independence 

Standard provides an assurance engagement framework for auditors 

and meets stringent international and Canadian regulatory 

requirements.” 

Corporate wrongdoing which resulted in a widespread loss of public 

trust in financial reporting increased pressure for transparency and 

better governance. CGA-Canada, recognizing the need to restore 

that public trust, developed the CGA Independence Standard in 

2004 to strengthen accountability and transparency. 

The CGA Independence Standard requires an auditor to identify 

threats to independence and adopt appropriate safeguards to 

protect the public. It also addresses the concerns that accounting 

firms be able to conduct engagements and provide an audit opinion 

free from client influence or other conflicts of interest. 

“Already acknowledged by the CGA Code of Ethical Principles 

and Rules of Conduct (CEPROC), this rule change requires CGA 

firms that are participants in CPAB’s oversight process to adhere 

to the CGA Independence Standard,” adds Ariganello. “We are 

pleased the CGA Independence Standard has been endorsed 

and that CGAs will continue to provide high quality assurance 

services under CGA rules.” 

(Extracted from CGA-Canada Website) 

11


FRANCE 

New International Body to Represent CNCC and CSOEC 

September 2006 - The two French member bodies of CAPA, 

Compagnie Nationale des Commissaires aux Comptes (CNCC) 

for representing both the French Profession on an international 

level. 

and Conseil Supérieur de l’Odre des Experts-Comptables 

(CSOEC) have created a new international body responsible 

This new body is called la Délégation Internationale pour l’ 

Auditet la Comptablilité (DIPAC). 

HONG KONG 

Hong Kong Institute of CPAs and the CIMA Strengthen Ties 

HONG KONG, 29 September 2006 — The Hong Kong Institute 

of CPAs announced that it has signed a mutual examination 

paper exemptions (MEPE) agreement with Chartered Institute 

of Management Accountants (CIMA) following an extensive 

mutual review. 

overseas bodies. Now, all overseas recognitions are benchmarked 

against the competency framework and standards underlying the 

Institute’s QP. The three QP elements of a university degree, 

professional knowledge and practical experience are the necessary 

components for membership in the Hong Kong Institute of 

CPAs.” 

The agreement, effective as of 1 July 2006 and in force until 30 June 

2011, provides mutual exemptions of examination papers (MEPE) 

for a member of one body to become a member of the other. 

The Hong Kong Institute of CPAs ended its recognition 

agreements with a number of overseas accounting bodies in June 

2005 in order to align other qualifications against the competency 

“We continue to unify the standards of membership admission 

into the Hong Kong Institute of CPAs,” says Winnie Cheung, 

framework and standard it has set for qualification as CPA in 

Hong Kong. 

chief executive and registrar of the Institute. “Before, membership 

of the Hong Kong Institute of CPAs was automatic for some 

(Extracted from Hong Kong Institute of CPAs Website) 

Hong Kong Institute of CPAs and ACCA Sign New Recognition Agreement 

Agreement Covers Respective Members in Hong Kong 

and U.K. 

HONG KONG, 22 August 2006 — The Hong Kong Institute of 

Certified Public Accountants and the Association of Chartered 

Certified Accountants (ACCA) announced that the two bodies 

have signed a new agreement for recognition of their respective 

The parameters in the new agreement, which allow mutual 

recognition of each body’s members, were developed after a 

year-long review by an independent assessor agreed to by both 

bodies. The assessor compared the qualification prerequisites 

of each body. The Hong Kong Institute of CPAs and ACCA 

recognise that their respective professional qualifications 

differ in learning objectives, but not in quality. 

members to replace the Mutual Recognition Agreement 

that expired in June 2005. 

It covers students who enrolled in ACCA on or after 16 August, 

2004. It is retroactive to 1 July 2005 and will be in force until 

The new recognition agreement, which is different from the 

last MRA, gives ACCA members substantial exemptions to the 

Hong Kong Institute of CPAs’ qualification programme. 

30 June 2010. The agreement applies to ACCA members 

who were qualified in the U.K. and Hong Kong. Transition 

arrangements for students who enrolled on or before 15 

August 2004 have been agreed separately. 

12


HONG KONG 

Winnie C. W. Cheung, chief executive of the Hong Kong 

Institute of CPAs, says, “The Institute, as the statutory 

licensing body, is mandated by the Professional Accountants 

Ordinance to develop the standard of qualification of 

the accounting profession in Hong Kong and this agreement 

will help assure the central role of the CPA as we evolve 

as an international financial centre.” 

Allen Blewitt, chief executive of ACCA commented, “This 

agreement will mark the beginning of a new era in ACCA’s 

long history in Hong Kong. We look forward to working 

with the Institute to continue building the profession here.” 

to achieving membership,” added Blewitt. “To recognize these 

differences, this new agreement contains the steps to be followed 

by ACCA and HKICPA members seeking membership in the 

other’s body.” 

According to Cheung, “In a nutshell, members of the ACCA must 

have a university degree, pass the final professional examination 

of the Institute’s qualification programme and gain practical work 

experience under an Institute-authorised employer or supervisor. 

This way, the Institute’s three-pronged foundation of university 

education, post-graduate study and practical experience is 

maintained.” 

“This agreement recognizes that each body offers different routes 


Shortage of Accountants Found, even as Supply Grows 

Positive Career Prospects Tempt Many Students, Survey 

from the Hong Kong Institute of CPAs Shows 

HONG KONG, 20 September 2006 — The demand for 

accountants is exceeding the supply in Hong Kong and will 

continue to do so if economic growth remains high, a recent 

market survey by the Hong Kong Institute of Certified Public 

Accountants shows. 

The study indicates that the supply of and demand for accountants 

is growing, but demand is growing at a faster pace, resulting in a net 

shortage of accountants. Based on the most recently available data 

from 2004, demand for accountants is estimated at 6,544 jobs in 

2005, with supply from local institutions estimated at a maximum 

of 5,007, leaving a shortage of 1,537 accountants, or 23 percent. 

Winnie C.W. Cheung, chief executive of the Hong Kong 

Institute of CPAs, says demand is notoriously fickle and could 

change within months, while the study accurately reflects the 

supply of accountants about to enter the market. “Many firms 

and companies are dealing with this talent crunch by recruiting 

overseas. 

Fortunately, the Institute’s recognition agreements with overseas 

accounting bodies allow Hong Kong firms to recruit from some 

of the best trained professional accountants from around the 

world.” 

“The very high demand for the skills of accountants is in part 

due to our healthy economy, but as we have seen before, that 

could change quickly,” adds Paul M.P. Chan, President of the 

Institute. “Right now, demand is outstripping supply and the 

CPA qualification is valuable – not only in Hong Kong but 

around the world. Unfortunately, it is also resulting in long 

working hours for these professionals.” 

Growing supply 

The number of places offered at Hong Kong’s educational 

institutions for accounting studies has increased about 20 

percent in the last two years – from roughly 4,700 in 2004-05 to 

5,600 in 2006-2007 academic year, and academics polled say this 

will continue for the 2007-08 academic year. 

Academics polled (86%) say that demand for accounting 

graduates is increasing, and the majority of accountants 

polled (74 percent) expect demand fromChina for Hong Kong 

accountants to increase over the next five years. 

13


HONG KONG 

More females 

The study shows those studying accounting are increasingly 

female. In the final year student population, the ratio between 

“The change in demographics means the profession has 

nearly reached gender equilibrium,” says Chan. “This is a 

healthy development for the profession.” 

female and male is 64% and 36%. According to the study, the 

gender balance in the industry will shift from a male skew to a 


female skew over the next three to five years. 

JAPAN 

JICPA Published the “Corporate Disclosure in Japan – Overview” 

The auditing and accounting system in Japan has been 

greatly enhanced over the past few years. The amended 

Certified Public Accountants Law (“CPA Law”) became 

effective on April 1, 2004, which has achieved the following: 

• strengthened auditor’s independence, 

changes in social and economic circumstances. This 

revision provides greater flexibility for Japanese 

corporations with respect to their corporate governance 

structure. Auditing requirements are stipulated based on 

the structure selected. 

• established the Certified Public Accountants and Auditing 

Oversight Board (“CPAAOB”), 

• commenced CPAAOB’s monitoring of quality control 

reviews performed by the Japanese Institute of Certified 

Public Accountants (“JICPA”), 

• launched a reform of the examination system for Certified 

Public Accountants, and 

• made continuing professional education compulsory 

This booklet is the fifth edition of “Corporate Disclosure in 

Japan – Overview” published by the International Relations 

Committee of the JICPA in order to furnish both historical 

and up-to-date information on the outline of the 

corporate disclosure system in Japan. The new auditing aspects 

of the amendment to the Corporation Law have been 

incorporated into this booklet. 

which had formerly been operated by the JICPA on a 

self-regulatory basis. 

This booklet will assist in acquiring better understanding of 

an overview of the current status of corporate disclosure in 

After consecutive amendments over the past several years, 

Japan. 

the Commercial Code and other related laws and 

regulations were totally restructured and integrated into 

Corporation Law, to become effective May 2006. 

A copy of this booklet can be downloaded from the JICPA 

website: http://www.jicpa.or.jp. Copies of this booklet 

are also available on request from JICPA, please contact 

The objective of these amendments is to modernize the 

language as well as the provisions in order to reflect recent 

JICPA at email: international@sec.jicpa.or.jp 

(Extracted from Japanese Institute of CPAs Website) 

14


MALAYSIA 

MIA Prepares For The Olympics Of The Accountancy Profession 

July 28, 2006 - The Malaysian Institute 

of Accountants (MIA) is already 

working hard to ensure that the 18th 

World Congress of Accountants 

(WCOA) which will be held in Kuala 

the content of the discourses which will take place during the 

conference, he said, during a dinner to celebrate the winning 

stint in Kuala Lumpur on Friday, 28 July 2006. The dinner was 

also held in appreciation of all the agencies and organisations 

that supported MIA during the bid process. 

Lumpur in November 2010 will be a 

success. 

Towards this end, he added that MIA will be setting up a 

permanent WCOA 2010 Secretariat which will comprise people 

MIA President Abdul Rahim Abdul Hamid said that 

preparations for the event, which is four years from now are 

already underway. MIA is presently involved in promotional 

and publicity efforts as well as preparing itself for the event 

who are instrumental in ensuring the success of the organization 

of the event. It is also important that this committee possess 

a strong sense of continuity to maintain the momentum that 

has been built for the bid. 

and hopes to receive full support from relevant individuals 

and organisations to ensure the roaring success of the event. 

In September last year, the Malaysian Institute of Accountants 

(MIA) submitted its bid to host the 18th World Congress 

The congress will certainly put Malaysia in a global spotlight, 

he said. ‘’It will serve as a strategic platform to springboard 

into the world market and highlight our vision to become a 

globally recognised and respected business partner committed 

to nation building.’’ 

of Accountants in the year 2010. The WCOA is a highly 

respected and well-attended congress, which normally attracts 

over 5,000 delegates from around the world. IFAC also 

received bids from Belgium, India, Mexico, Spain and The 

Netherlands. 

Rahim is also confident that the congress will also help promote 

Malaysia as a hub for educational and business initiatives which 

is in line with Tourism Malaysia’s aspiration of making Malaysia 

a choice destination for the meetings, incentives, conventions 

and exhibitions (MICE) market. 

Apart from that, the profession itself stands to gain value from 

The news about the bid was conveyed by the International 

Federation of Accountants (IFAC)’s Chief Executive, Dr. Ian 

Ball after the IFAC Board meeting in Beijing, China in early 

June this year. 

(Extracted from MIA website) 

15


UNITED KINGDOM 

Welcome to the New-Look AAT Logo and Website! 

The Association of Accounting 

T e c h n i c i a n ( A A T ) i s 

recognised as providing a 

brand guidelines and a new brand image that is modern, works well 

online and demonstrates the opinions of all AAT’s stakeholders 

- that is AAT listens, innovates and raise standards. 

valuable partnership with 

everyone they help, support and 

work with. AAT is backed up by the authority and has 

awarded recognised qualifications, provided continue 

The new logo is the name of the organisation incorporating the 

equals sign. The equals sign is their branding device, and works in 

the same way as the Nike swoosh symbol or the Olympic rings. 

professional development and advice to its members and 

in representing the industry in the UK and overseas. 

The AAT believes in its relevant in three key ways: 

• a mathematical symbol, invented in 1557 by Robert Recorde, 

AAT has reinforced these aspects through a refresh of their visual 

identity. The original AAT’s logo and image was developed over 

15 years ago. 

represents absolute equality and is used by accountants 

all around the world. 

• symbolising the equality of the partnership that the AAT 

strives for in helping and supporting everyone it comes into 

Therefore, in September 2004, an audit of all their 

communications were undertaken. The findings recommended 

that the AAT’s communication materials and website 

should be redesigned to be consistent, integrated and clearly 

visible online. 

contact with. 

• demonstrating the authority of and endorsement from the 

AAT qualification, and signalling the development for 

members, quality of staff for employers or accreditation for 

training partners. 

Research was also undertaken with students, members, employers, 

(Extracted from AAT website) 

staff and Council members which helped in developing a set of 

IFAC NEWS 

iFAC Board Focuses on Supporting Developing Nations; 

Makes Key Leadership Appointments 

New York/September 11, 2006 - At its meeting in Toronto, 

Canada, the Board of the International Federation of Accountants 

(IFAC) approved increasing the involvement of developing 

nations in its activities by expanding the IFAC Developing 

Nations Committee and by providing financial support to 

qualified individuals from developing nations who would like 

to participate on IFAC boards and committees. It also gave 

further recognition to the role of its Professional Accountants 

in Business (PAIB) Committee in developing global 

The Board also approved the following appointments, which 

are effective January 1, 2007: 

• Edward Chow of Hong Kong as the Chair of the IFAC 

Professional Accountants in Business Committee; 

• Mike Hathorn of the United Kingdom as Chair of the 

IFAC International Public Sector Accounting Standards 

Board; and 

• Ignatius Sehoole of South Africa as Chair of the Developing 

Nations Committee. 

guidance by clarifying its mission. 

16

IFAC NEWS 

iFAC Board Focuses on Supporting Developing Nations; 

Makes Key Leadership Appointments 

IIn addition to taking these actions, the Board focused a part 

of its discussion on convergence to international standards. 

Guest speakers Paul Cherry, Chair, Accounting Standards 

Board, Canada, and Ron Salole, Vice President of Standards 

for the Canadian Institute of Chartered Accountants, addressed 

the challenges and successes they have faced in moving 

from national standards to international standards and the 

benefits that have been realized as a result of this transition. 

In addition, Sheila Fraser, Auditor General of Canada, discussed 

the ways in which the Canadian Government accounts to 

its electorate, the significance of international public sector 

financial reporting standards, and the need for the use of an 

international set of standards recognized by governments 

and legislative bodies. 

“Canada’s recognition of the importance of international 

standards was further exemplified by the Canadian government’s 

recent donation of US $1 million to the International Public 

Sector Accounting Standards Board and the Canadian 

Institute of Chartered Accountants’ (CICA) willingness 

to second staff to that Board,” states IFAC President Graham 

Ward. “We are very grateful for this and other support provided 

by IFAC’s member organizations.” 

Canadian Government Donates $1 Million to IFAC’s 

International Public Sector Accounting Standards Board; Staff Office 

Opened in Canada 

New York/September 06, 2006 - Canada is showing its support 

for the work of the International Public Sector Accounting 

Standards Board (IPSASB), an independent standard-setting 

body of the International Federation of Accountants (IFAC), in 

two significant ways: The Treasury Board of Canada is providing 

funding of US$200,000 per year for five years and the Canadian 

Institute of Chartered Accountants (CICA) has agreed to provide, 

at its expense, a dedicated professional to support the IPSASB. 

Beginning this month, some of the IPSASB’s staff, including its 

new Technical Director, Stephenie Fox, will be located in an 

office in Toronto, Canada. 

The IPSASB focuses on the accounting and financial reporting 

needs of national, regional and local governments, related 

governmental agencies, and the constituencies they serve 

through the development of high quality International Public 

Sector Accounting Standards. Canada’s actions demonstrate the 

increasing recognition of the importance of these standards. 

“These standards are the foundation for better, more transparent 

and more responsible financial reporting by government,” states 

IFAC Chief Executive Ian Ball. “Citizens in all countries have a 

right to understand how the government manages the financial 

resources that have been entrusted to it. By addressing such issues 

as the application of accrual accounting to the public sector, 

or accounting for social policy obligations or for tax revenues, 

these standards help to enhance the accountability of 

governments.” 

“We very much appreciate the commitment of the Canadian 

Government and the CICA to the IPSASB. Together with our 

Canadian partners and others throughout the world, the IPSASB 

can continue to improve financial reporting in the public sector 

and thus contribute to better financial decision making and 

financial management by governments,” states IFAC President 

Graham Ward, CBE, MA, FCA. 

“The Canadian offer is significant in that it will strengthen 

the IPSASB’s capacity to deal with its priorities on public 

sector specific issues, including public/private arrangements 

and a conceptual framework, as well as convergence with 

other standards,” states Philippe Adhémar, IPSASB Chair. 

“An important IPSASB goal is to promote the acceptance and 

use of its standards worldwide, and significant progress has 

17

IFAC NEWS 

Canadian Government Donates $1 Million to IFAC’s 

International Public Sector Accounting Standards Board; Staff Office 

Opened in Canada 

been made in this area. For example, the United Nations 

recently approved a resolution calling for its agencies to adopt 

the standards. The European Commission and Organisation 

for Economic Co-operation and Development have also 

adopted the standards, and the World Bank has indicated 

its support for their use by governmental entities.” 

“We are very pleased to have IPSASB based in Toronto. It is a 

huge vote of confidence in Canada’s standard-setting abilities,” 

says Kevin J. Dancey, FCA, CICA President and CEO. “It is 

through initiatives like this that the CA profession demonstrates 

its leadership and the increasingly important role it plays on 

the international stage in terms of establishing best practices 

and guidance for improved financial reporting.” 

For more information about the IPSASB and to download its 

standards and other guidance free-of-charge, visit its home page 

on the IFAC website at http://www.ifac.org/publicsector. 

New Guidance on Ethics Education Proposed by IFAC’s International 

Accounting Education Standards Board 

New York/September 07, 2006 - The International Accounting 

Education Standards Board (IAESB), an independent standardsetting 

board within the International Federation of Accountants 

(IFAC), has proposed new guidance to help professional 

accountants meet one of their most difficult challenges: making 

ethical decisions. 

The proposed new International Education Practice Statement 

(IEPS), Approaches to Developing and Maintaining Professional 

Values, Ethics and Attitudes, is designed to assist IFAC member 

bodies in developing ethics education and continuing professional 

development programs for their members. 

“The accountancy profession’s ability to meet its public interest 

responsibilities rests, in large part, on each professional’s values, 

ethics, and attitude,” emphasizes Henry Saville, IAESB Chair. 

“Ethics education programs enhance professional accountants’ 

ethical judgment and decision making. The guidance proposed 

by the IAESB will help member bodies to develop these 

skills in current and future professional accountants.” 

The proposed practice statement provides guidance to IFAC 

member bodies on how to achieve good practice in developing 

and maintaining professional values, ethics and attitudes in 

accordance with the requirements in International Education 

Standard (IES) 4, Professional Values, Ethics and Attitudes. 

It suggests that member bodies may adopt an approach to ethics 

education based on the IAESB’s “Ethics Education Framework,” 

developed in its recently published information paper, Approaches 

to the Development and Maintenance of Professional Values, 

Ethics and Attitudes in Accounting Education Programs. 

The proposed IEPS also highlights good practice in ethics 

education and the assessment of ethics education, stressing 

the importance of workplace learning and a period of practical 

experience as being essential in the development of ethical 

judgment and decision making. 

Ethics education is a lifelong commitment that starts when an 

individual begins training to become an accountant and continues 

throughout a professional accountant’s career. Therefore, the 

proposed IEPS also provides guidance for member bodies on 

ethics education through continuing professional development. 

How to Comment 

Comments on the exposure draft are requested by December 

15, 2006. The exposure draft may be viewed by going to 

http://www.ifac.org/EDs. Comments may be submitted by email 

to edcomments@ifac.org. They can also be faxed to the attention 

of the IAESB Technical Manager at +1 (212) 286-9570 or 

mailed to IFAC, 545 Fifth Avenue, 14th Floor, New York, NY 

10017, USA. All comments will be considered a matter of public 

record and will ultimately be posted on IFAC’s website. 

18

IFAC NEWS 

United Nations Adopts IFAC’s International Public Sector 

Accounting Standards 

(New York/September 05, 2006) -- The General Assembly of 

the United Nations (UN) has approved a financial management 

The standards may be downloaded free-of-charge from the 

IFAC website at http://www.ifac.org/store. 

reform program that calls for the adoption of International 

Public Sector Accounting Standards (IPSASs) by the UN. 

The adoption of IPSASs is viewed as critical to maintaining 

and enhancing the credibility, transparency and authority 

As a result of the UN’s decision to use IPSASs, the UN will 

move from a system of modified accrual to full accrual, which 

provides a more comprehensive financial picture. 

of the financial processes and transactions of the United 

Nations. 

Chief Executive Ian Ball states: “Public sector entities, such 

as the United Nations, that have undertaken a financial 

“The reform program enables, for the first time, the UN and 

its many agencies to have a comprehensive and consistent 

view of their financial position and performance. This will, 

in turn, enable the UN to manage more effectively, and to 

management reform program incorporating full accrual 

financial reporting are better able to manage their finances, 

and demonstrate by their actions their commitment to 

transparency.” 

be fully accountable for, the resources entrusted to it,” states 

IFAC President Graham Ward. 

The President of the United Nations General Assembly, 

H.E. Mr. Jan Eliasson, issued a Statement on the Adoption of 

IPSASs are developed by the International Public Sector 

Accounting Standards Board, an independent standard-setting 

body within the International Federation of Accountants 

(IFAC). The standards set out the requirements for financial 

the Resolution on Management Reform in which he said: “...We 

have taken a step to make the Organization more efficient and 

effective. We have begun consolidating a culture of accountability, 

transparency and integrity in the Secretariat (of the UN).” 

reporting by governments and other public sector organizations. 


CANADA 

New leaders join the CICA board 

Alain Benedetti 

At its annual general meeting in 

September 2006, the Canadian 

Institute of Chartered Accountants 

(CICA) welcomed two new leaders 

to the CICA board of directors. Alain 

Benedetti, FCA, becomes chair after 

having served as vice-chair of CICA’s 

board for the past two years. Until his 

retirement in 2004, Benedetti was 

vice-chairman and Canadian area 

managing partner at Ernst & Young. He began his career with 

Clarkson, Gordon & Co. in Montreal in 1970. Benedetti has 

served on numerous boards including Concordia University (past 

chair), St. Mary’s Hospital (past chair), the board of directors, 

Canadian Club of Montreal (past president) and the board of 

the St. James Club of Montreal (past chair). He is currently a 

member of the board of governors of Dynamic Mutual Funds and 

a board member of Dorel Industries Inc., Russel Metals Inc. and 

Birks & Mayors Inc. 

19

NEW APPOINTMENTS 

CANADA 

New leaders join the CICA board 

Joining the CICA board of directors 

as vice-chair is Douglas N. Baker, 

FCA. Baker has held senior financial 

positions in various oil and gas 

exploration companies for the past 

23 years. During the past nine years, 

Benedetti takes over the position of chair from David A. Hope, 

FCA, who has completed a successful two-year term focused 

on reinforcing synergy and collaboration within the profession, 

ensuring that standard-setting activities acknowledge, anticipate 

and respond to market changes and deepening the profession’s 

involvement in international affairs. 

he has been CEO, cofounder and 

Douglas N. Baker 

promoter of three successful oil and 

gas companies. Baker’s career began 

at Deloitte Haskins and Sells in 1975. 

Other changes on the CICA board of directors include the 

appointment of Charles Henaire, FCA, from Winnipeg, who 

replaces Barbara Simpson, FCA who has completed a four-year 

He served as Alberta’s representative to the board of examiners 

from 1989 to 1993 and as chair from 1995 to 1996. He has also 

served on the International Qualifications Appraisal Board since 

2000. He was member of Council at the Institute of Chartered 

Accountants of Alberta from 1998 to 2003 and president in 2002- 

term. In addition, Rod Barr, FCA from Toronto, replaces Tom 

Hards, FCA, who has served on the board since 2003. The 

appointment of Kevin Dancey as CICA’s president and CEO, 

following the retirement of David W. Smith, FCA, was announced 

earlier this year. 

2003. He currently serves as the chair of the board of directors of 

the CA School of Business. 

MALAYSIA 

MIA 20th Annual General Meeting: Six New Members Elected As Council Members 

The Malaysian Institute of Accountants (MIA) announced the 

Accountants Act 1967. 

election of six new members to its 30 member Council following 

the conclusion of the Institute’s 20th Annual General Meeting 

(AGM) on 23 September 2006. 

The Accountant-General’s office informed the Institute that the 

Minister of Finance has appointed; Mr. Michael Eow Kwan Hoong, 

President of CIMA Malaysia Division and YBhg Dato’ Nordin 

Abdul Halim Husin, Chen Voon Hann, Lam Kee Soon, Dato’ 

Raymond Liew, Dr. Thillaisundaram a/l Arumugam and Yeo Tek 

Baharuddin, Vice President of MICPA as Council members of 

MIA with effect from 1st September 2006. 

Ling were elected to the Council under Section 8 (1) (g) of the 

20

NEW APPOINTMENTS 

PAKISTAN 

ELECTION OF PRESIDENT AND VICE PRESIDENTS of ICAP 

The Institute of Chartered Accountants of Pakistan (ICAP) in 

its 185th Council meeting held on September 12, 2006 elected 

the following members as the President and the Vice Presidents 

for the year 2006 – 2007:- 

A Fellow Member of the Institute, 

Mr. Farrukh Viqaruddin Junaidy is 

currently serving as Group Chief 

Financial Controller, Dewan 

Mr. Nasimuddin Hyder 

Mr. Shahzad Hussain 

Mr. Farrukh Viqaruddin Junaidy 

Mr. Nasim Hyder, FCA is a fellow 

-President 

-Vice President (North) 

-Vice President (South) 

Mushtaq Group. Prior to joining 

Dewan Mushtaq Group he served as 

Partner of Taseer Hadi Khalid & Co. 

Chartered Accountants, a member 

firm of KPMG International. 

member of the Institute having 

Farrukh Viqaruddin Junaidy 

qualified in 1971. He started 

professional practice in 1972 with 

Sidat Hyder & Co., now Ford Rhodes 

Sidat Hyder & Co., a member 

of Ernst & Young International. 

Presently he is the Head of Tax 

division of the firm 

Nasimuddin Hyder 

Mr. Shahzad Hussain is a Fellow 

member of the Institute and an 

Associate member of the Institute of 

Chartered Accountants in England 

& Wales. He is associated with 

A.F. Ferguson & Co. Chartered 

Accountants since 1981 and has 

been a Partner of the firm since 

Mr. Nasim Hyder was first elected to the Council of ICAP in 

2001. He was elected as Vice President for the year 2003-04. 

He has been the Chairman of Technical Advisory Committee 

(South) since last five years. Mr. Nasim is also serving as Pakistan 

Representative on the Board of Confederation of Asian and Pacific 

Accountants since 2004. 

1991. 

Shahzad Hussain 

21

W E B S I T E S O F C A P A M E M B E R S 

• CPA Australia 

http://www.cpaaustralia.com.au 

w e b s i t e s 

• The Institute of Chartered Accountants in Australia 

http:// www.charteredaccountants.com.au 

• The Institute of Chartered Accountants of Bangladesh 

http://www.icab-bd.org 

• The Institute of Cost and Management Accountants of Bangladesh 

http://www.icmab.org.bd 

• The Canadian Institute of Chartered Accountants 

http://www.cica.ca 

• Certified General Accountants’ Association of Canada 

http://www.cga-online.org 

• The Chinese Institute of Certified Public Accountants 

http://www.cicpa.org.cn 

• Fiji Institute of Accountants 

http://www.fia.org.fj 

• Compagnie Nationale des Commissaires Aux Comptes 

http://www.cncc.fr 

• Conseil Superieur des l’Ordre des Experts-Comptables 

http://www.experts-comptables.com 

• Hong Kong Institute of Certified Public Accountants 

http://www.hkicpa.org.hk 

• The Institute of Chartered Accountants of India 

http://www.icai.org 

• The Institute of Cost and Works Accountants of India 

http://www.myicwai.com 

• The Japanese Institute of Certified Public Accountants 

http://www.jicpa.or.jp 

• Korean Institute of Certified Public Accountants 

http://kicpa.or.kr 

• Malaysian Institute of Accountants 

http://www.mia.org.my 

• Institute of Chartered Accountants of Nepal 

http://www.ican.org.np 

• Institute of Chartered Accountants of New Zealand 

http://www.icanz.co.nz 

• The Institute of Chartered Accountants of Pakistan 

http://www.icap.org.pk 

• The Institute of Cost and Management Accountants of Pakistan 

http://www.icmap.com.pk 

• Philippine Institute of Certified Public Accountants 

http://www.picpa.com.ph 

• Institute of Professional Accountants of Samara Region 

http://sipa.org.ru 

• The Institute of Chartered Accountants of Sri Lanka 

http://www.icasrilanka.com 

• Association of Accounting Technicians of Sri Lanka 

http://www.aatsl.lk 

• Association of Accounting Technicians Limited 

http://www.aat.org.uk 

• Hong Kong Institute of Accredited Accounting Technicians 

http://www.hkiaat.org 

• The Association of Chartered Certified Accountants 

http://www.accaglobal.com 

22

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