Tuesday, May 25, 2010

ACCA calls on G20 to drive reform of the global financial agenda

ACCA calls on G20 to drive reform of the global financial agenda

G20 meeting in Toronto provides incentives and opportunities to build a sustainable economy, says global accounting body

As the Group of Twenty nations (G20) prepares to meet in Toronto next month, ACCA (the Association of Chartered Certified Accountants) has put forward its key recommendations for global policy-makers.

On 26-27 June 2010, around 1500 delegates, including heads of state, will convene to discuss the global financial crisis and assess what progress has been made on the road to recovery. In a new paper in line with the theme of the summit, Recovery and new beginnings, ACCA calls on world leaders to deliver on promises made at previous summits, and go further in their efforts towards financial sector reform, robust accounting standards, and strong, sustainable growth.

"A repetition of a catastrophe on this scale is something neither governments, nor the public, nor the global business community could countenance", says Head of ACCA Pakistan, Arif Masud Mirza. "We feel the crisis has provided both an incentive and an opportunity for the wholesale financial reform which will lead to a sustainable global economy."

While ACCA commends the pledges made by the G20 to date, the Recovery and new beginnings identifies several areas in which further action is needed. In particular:

* The G20 should turn its stated commitment to integrity in financial institutions into reality, by encouraging moves to instil ethical business codes and better risk management functions in the financial and corporate sectors
* The G20 must broach the question of 'too big to fail' financial institutions, and consider as a serious option the separation of retail and investment banking
* The G20 should now take concrete steps towards the implementation of IFRS (International Financial Reporting Standards), and ensure accounting standards are free from undue political influence
* Sustainability and tackling climate change should be embedded in the G20's agenda, and ingrained in business practice through the use of a global carbon reporting standard

ACCA also raises questions about the structure of the forum itself: "It is unclear how the interests of smaller economies are represented at the table," says Arif Mirza. "So while the G20 may be more inclusive than the G8, some introspection is needed to make sure it is truly representative, and avoid accusations that it is an exclusive club."

Though the G20 has existed since the financial crisis in Asia in 1999, it is only over these past two years that it has really cemented as an entity, and only at the summit in Pittsburgh last September that it was designated the premier forum for international economic cooperation. Clearly, there remains much still to do. But, concludes Arif Mirza: "Given the leadership it has shown this far, ACCA is calling for the G20 to be made a permanent fixture with a secretariat established, so its remit extends beyond the short-term, and beyond economic issues, to a broader global governance role."

Monday, May 10, 2010

ACCA declared Best Brand second time in a row!

ACCA declared Best Brand second time in a row!

ACCA Pakistan has been declared as the winner of 'Brands of the Year
Award' in the category of Professional Accountancy Program for the
second time, consecutively, this year. ACCA's success with a decisive
majority indicates a continuum of ACCA's increasing brand popularity,
strong stakeholder confidence and a high level of customer

The award was received by Mr Mohammad Shahid Khan, Assistant Manager
Business Development from the honourable Prime Minister Mr Yousuf Raza
Gilani accompanied by Mr Nisar Khoro, Acting Governor Sindh and Mr
Syed Qaim Ali Shah, Chief Minister, Sindh. Also present, to the honors
were, Minister of Industry and Commerce, Mr Rauf Siddique and Director
General, Intellectual Property Organisation (IPO), Mr Syed Khalid
Mehmood Bukhari.

Brands of the year Award is a public-private partnership programme
aimed at creating awareness about brand importance and encouraging
healthy brand competition in Pakistan. This year the contest featured
550 contenders in 175 diverse categories of goods and services judged
through a consumer survey, from which, 153 brands were identified and
endowed with Brand of the Year Award.

While addressing the Brand of the Year Awards ceremony, the prime
minister, Mr Yousuf Raza Gilani congratulated the wining brands on
their success and appreciated the value and repute they add to
Pakistan's business industry. Honourable prime minster highly
emphasised on the critical role of brand development, quality
assurance and registered trademark to Pakistan's trade and industry.

On this occasion, Mr Arif Masud Mirza, Head of ACCA Pakistan said that
it was an honour for ACCA Pakistan to be acknowledged as a winning
brand and congratulated ACCA community - members, trainees, Approved
Learning Partners and Approved Employers for living the true values of
the ACCA Brand and aiming to be Fit for the Customer in all the
professional endeavours.

Wednesday, May 5, 2010

ACCA Pakistan Pre-Budget Discuss: Stakeholders deliberate Federal Budget 2010/11

ACCA Pakistan Pre-Budget Discuss: Stakeholders deliberate Federal Budget 2010/11

ACCA Pakistan Pre-budget Discuss 'Supporting Fair Taxation' held on 4
May 2010 gave an opportunity to stakeholders to discuss the
composition of the upcoming Federal Budget. The panelist include Mr
Kashif Shabbir, President, Rawalpindi Chamber of Commerce and
Industry, Mr Zafar Ul Majeed, Member Strategic Planning and
Statistics, Federal Board of Revenue, Mr Sakib Sherani, Economic
Advisor, Ministry of Finance, Ms Ayla Majid, Director Business
Advisory Services, Khalid Majid Rehman & Co and Mr Salman Amin,
General Manager Audit, Oil and Gas Development Company Limited.

The discussion revolved around need for establishing a fair taxation
system by widening the tax base and nurturing a culture of voluntary
tax payment. Panelists were desirous of a tax system that encouraged
industrial growth and commented that tax incentives aimed at promoting
SMEs growth should be considered.

Participants felt that the agricultural tax reform needs an objective
and critical evaluation. Documentation of the agricultural sector
should be undertaken, support should be given to provincial
governments for an effective implementation of Agricultural Income Tax
on basis of income instead of acreage and any gain on the disposal of
agricultural land for non-agricultural purposes or change in status
from agricultural land to industrial or commercial land should be
subject to Capital Gains Tax by the provincial authorities in order to
enhance the perceived equity of the taxation system, Further
deliberations also suggested that awareness of tax benefits should be
created as it would nurture a culture of voluntary tax payments.

Value Added Tax (VAT) discussion revolved around getting the buy in of
relevant stakeholders and educating the business community about
whether VAT is a new tax or is replacement of General Sales Tax. If
VAT would result in a more documented economy then its benefits need
to be disseminated.

To attract foreign investment and to encourage the establishment of
regional headquarters of holding companies, a new provision of a
concessionary income tax rate, that is, a half rate, should be
introduced in the new federal budget.

Inclusion of tax incentives, along with carbon credits was also
suggested to make alternative energy projects financially viable,
encouraging investors to focus on such projects.

For information about ACCA Pakistan budget proposals please view ACCA
Pakistan Budget Proposals 2010-2011 through the following link: