Ordre National des Experts Comptables et des Comptables Agréés du Sénégal

At the regional level, the Organization for the Harmonization of Business Law in Africa (OHADA) issued Regulation No. 01/2017/CM/OHADA Pratiques Professionelles de la Comptabilité et de l’Audit dans les pays membresde l’OHADA mandating PAOs within OHADA member states, which includes Senegal, to develop and implement QA review systems.

In 2013, under the oversight of the Ministry of Finance, ONECCA-Senegal established a Quality Assurance Review System (QARS) for its members and adopted ISQC 1 and ISA 220 as quality control standards. QA reviews are to be conducted every three years for public interest entity (PIE) audit firms and every six years for all other audits. The QARS was performed on a voluntary basis for PIE statutory audits in 2013. In 2014, the QAR extended to all ONECCA-Senegal members on a voluntary basis. This was done with the assistance of the French professional accountancy organizations. Subsequently, ONECCA has faced challenges in starting QA reviews on a mandatory basis. In 2022, the elected Council decided to provide members with more tools and time to improve quality before undergoing mandatory QA reviews.

The institute has self-assessed the SMO 1 procedures that are currently drafted and it indicates that when QA reviews are performed on a mandatory basis the procedures will meet all SMO 1 best practices.

The ONECCA-Senegal QA Commission has shared an OHADA-issued QA manual and provides access to standards and related handbooks in French. French translations of the quality management standards have also been shared and the institute has organized training on the new/revised standards. The institute states it provided its members with questionnaires to prepare for a review and is organizing workshops and training for members to on how to use available tools. Furthermore, once the QA reviews are complete, ONECCA-Senegal notes it will publish a report on the main issues found during reviews and conducts trainings for members on the most significant and frequent issues found to enhance improvements.

ONECCA-Senegal is taking the steps to prepare its members for the re-start its QA review system, this time on a mandatory basis. As it continues to advance in this initiative, it is encouraged to report on progress in its SMO Action Plan and specific actions to support its members, report on results, and address any deficiencies. The institute may consider regional engagements and collaboration to learn how other PAOs in the African region built up the capacity to execute their QA review systems considering the need for additional resources.

Current Status: Execute

With initial professional development (IPD) requirements established at the regional level by the West African Economic and Monetary Union (WAEMU), the role of the ONECCA-Senegal is to enforce the IPD requirements and establish continuing professional development (CPD) requirements for its members.

Presently, the regional IPD requirements include obtaining the Higher Education Degree in Accounting and Financial Management (DESCOGEF—for Certified Accountants) and the Degree in Accounting and Finance Expertise (DECOFI—for Chartered Accountants) in order to pass the qualifications’ exam and practice within any of the West African Economic and Monetary Union (WAEMU) member states.

ONECCA-Senegal has worked to strengthen IPD requirements by requiring that candidates’ three-year internship must be with a Chartered Accountant licensed by ONECCA-Senegal and demonstrate appropriate knowledge of Senegal’s business and legal environment. The institute has established a Training Committee which is responsible for identifying the areas that candidates for ONECCA-Senegal membership must demonstrate sufficient knowledge of.

ONECCA-Senegal states that among OHADA member states, and separately within the WAEMU, there are curriculum reforms under consideration that would enable accountancy education to better align with the revised IES requirements. Currently, it is still in the consultation phase, but the institute is committed to participating in regional discussions and working with the regional unions to enhance accountancy education.

The institute’s Training Committee is also in charge of developing and maintaining the institute’s CPD system. ONECCA-Senegal members must fulfill 40 hours of CPD per year and submit proof as part of renewing their membership. Since 2020, the institute has monitored CPD fulfillment throughout the year. The institute indicates that the CPD catalogue is updated regularly and available for members to view on its website. ONECCA-Senegal will offer at least 40 hours of training to its members and is working to have these trainings take an output-based approach rather than input-based. It also encourages members to attend trainings outside of the institute.

A review of regional IPD requirements and curriculum is an opportunity for ONECCA-Senegal to encourage both the WAEMU and the OHADA to consider the latest IES requirements which emphasize learning-outcome and competencies-based approaches to accountancy education rather than just theoretical training. It is unclear if the current IPD requirements (e.g. DECOFI curriculum; final assessment) are aligned with the 2019 IES requirements. The IES Self-assessment developed by IFAC may be used to conduct an assessment and to consider available implementation support materials.

Current Status: Plan

The Organization for the Harmonization of Business Law in Africa (OHADA) has been revising regional regulation in order to harmonize auditing standards with international best practice. In June 2017, OHADA issued regulation stating that all member states, which includes Senegal, must adopt ISA as issued by the IAASB beginning in January 2018. In accordance with the regional requirements, ONECCA-Senegal indicates that at the jurisdiction level, the ISA are effective as issued by the IAASB.

ONECCA-Senegal has been committed to the adoption of ISA at the national level prior to 2017. In 2010, ONECCA-Senegal had drafted and adopted the Senegal Auditing Standards (SAS) based on the 2009 ISA without any modifications. The SAS were approved by the Ministry of Finance in 2016 along with procedures to update the standards on an ongoing basis.

With adoption now effective at the regional level, ONECCA-Senegal indicates that its role is to provide implementation support by disseminating information and providing training on the applicable standards. The institute notes that it offers regular trainings for its members, shares tools and guidance issued by the OHADA, and notifies members of any developments.

With the new OHADA regulations now effective, the ONECCA-Senegal is encouraged to ensure that it specifies current implementation support (such as trainings and guides) activities for its members within its SMO Action Plan.

Current Status: Review & Improve

The Organization for the Harmonization of Business Law in Africa (OHADA) has been revising regional regulation in order to harmonize ethical standards with international best practice. In June 2017, OHADA issued regulations stating that its member states, which includes Senegal, must adhere to the OHADA Code of Ethics— which is based on the 2015 IESBA Code of Ethics —as well as relevant ethical requirements within the OHADA Uniform Act on Accounting Law and Financial Information (AUDCIF) that relate to external auditors. Under Senegalese Law No. 2000-05, the ONECCA-Senegal is authorized to establish ethical requirements for its members subject to the approval of the Ministry of Finance.

Prior to the 2017 regional regulations, the ONECCA-Senegal had adopted the 2013 IESBA Code of Ethics for its members which was approved in 2016 by the Ministry of Finance. The institute indicates that in the jurisdiction the OHADA Code of Ethics is now the applicable standard alongside other ethical requirements outlined in legislation such as the Companies Act and its role is to support implementation.

ONECCA-Senegal supports its members by organizing seminars and trainings—both pre-qualification and as part of continuing professional development—on the Code of Ethics. The institute also disseminates printed copies of the Code to all members in addition to the OHADA note and guidance on ethical requirements.

The OHADA regulations only incorporate up to the 2015 IESBA Code of Ethics. The ONECCA-Senegal is encouraged to leverage its advisory and advocacy role and share the latest International Code of Ethics with the OHADA so that it might update its regulations accordingly to align with international benchmarks. As a best practice and ensuring its membership is aware of the latest international standards, ONECCA-Senegal should also share the latest International Code of Ethics amongst its members and include reference to these developments in its CPD programs.

Current Status: Execute

At the regional level, West African Economic and Monetary Union (WAEMU) Regulation No.09/2009/CM/UEMOA establishes public sector accounting standards for member states of the WAEMU, which includes Senegal. Article 6 of that directive indicates that the government’s general accounting should be based on international accounting standards. IFAC member organizations in the WAEMU member states indicate that the regulation has undergone revisions to integrate a significant number of IPSAS. The revised standards were finalized in November 2018 by the West African Accounting Council.

At the national level, the Ministry of Finance is responsible for adopting public sector accounting standards. The current standards used in Senegal are national standards referring to IPSAS on a partial accrual-basis with the intention to transition to full accrual IPSAS (modified for local context) (IFAC, CIPFA 2021).

ONECCA-Senegal has no standard-setting authority in this area, nor do its members work in the public sector, however, the institute indicates that it has a collaborative relationship with the government and advocates for the adoption of accrual-basis IPSAS. For example, it has shared French translations of the IPSAS translated and in 2015, ONECCA-Senegal, in collaboration with IFAC, the Pan African Federation of Accountants, and the International Federation of Francophone Accountants, organized a two-day event on public financial management in order to promote accrual IPSAS. The institute reports this event is now an annual occurrence for the Francophone African professional accountant community.

ONECCA-Senegal indicates that it has a partnership agreement with both the Accountant and Auditor General and the Court of Auditors. It has been working with the Court of Auditors to support its technical capacity. The institute also states that it is part of a Steering Committee established by the Ministry of Finance on adoption and implementation of accrual-based standards.

ONECCA-Senegal has demonstrated that it is using its best endeavors to fulfill the requirements under SMO 5 and should continue to highlight how it is advancing the adoption and implementation of IPSAS in the jurisdiction.

Current Status: Review & Improve

Within Senegal, Law No. 2000-05, as approved by the Ministry of Finance, authorizes ONECCA-Senegal to establish an investigative and disciplinary (I&D) system for its members. The institute’s bylaws stipulate the establishment of a Disciplinary Committee to hear cases of misconduct, investigate, and sanction members. The Disciplinary Committee is chaired by a judge appointed by Dakar’s Court of Appeals.

In practice, to date, ONECCA-Senegal has implemented an arbitration and mediation process in the event of any complaints received. The complaints are received through a Council committee known as an Instructional Committee and go through a mediation process between the client and member to distinguish between professional misconduct complaints and commercial disagreements. If non-compliance or misconduct is found, or if a member does not address the recommendations of the Instructional Committee, the case would go to the Disciplinary Committee.

In 2019, the institute self-assessed its procedures against the SMO 6 best practices and found areas for improvement: having a separate investigative and disciplinary committee, making results publicly available, and liaising with appropriate external entities in the case of serious offences. Since then the institute has been addressing the IFAC recommendations and has made changes to its I&D procedures so that they now meet the SMO 6 benchmark.

ONECCA-Senegal states it communicates frequently on the importance of ethical behavior and consequences of non-compliance and that the number of cases it investigates through the Disciplinary Committee have increased.

I&D procedures that meet the SMO 6 benchmark are important to maintaining public trust and confidence in the profession and ONECCA-Senegal has demonstrated that it is using its best endeavors to fulfill the requirements under SMO 6 and addressing IFAC’s recommendations. As it continues to execute and implement the updated procedures, ONECCA-Senegal should continue to update its SMO Action Plan regarding its progress and outcomes of the operational changes.

Current Status: Review & Improve

As a member state of West African Economic and Monetary Union (WAEMU) and the Organization for the Harmonization of Business Law in Africa (OHADA), Senegal’s corporate accounting standards are defined in regional directives. In January 2017, the OHADA Uniform Act on Accounting and Financial Information (AUDCIF) was signed by the OHADA Council to update the previous OHADA Uniform Act on Organizing and Harmonizing Company Accounting Systems 2/2000 which had outlined the OHADA Accounting System and applicable standards—known has SYSCOHADA.

The OHADA AUDCIF revised the SYSCOHADA, namely the OHADA general accounting plan, as well as the consolidated and combined accounting rules to serve as a single accounting reference in all OHADA member states. The SYSCOHADA are generally applied by small and medium-sized entities (SMEs). The AUDCIF now requires that listed companies and companies seeking financing in a public capital market to apply IFRS in consolidated statements. All other companies are permitted but not required to use IFRS.

ONECCA-Senegal participated in the OHADA’s convergence process between 2010 through 2017 by proposing recommendations and contributed to several consultations. ONECCA-Senegal disseminates information on the standards and offering trainings to its members. The institute notes that it has undertaken several activities to raise awareness among members of the revised standards, including continuing professional development, the update of the qualification curricula, and provision of application guides.

ONECCA-Togo has demonstrated that it is using its best endeavors to fulfill the requirements under SMO 7.  The institute could consider advocating for the regional adoption of IFRS for SMEs as a permissible framework to bring SME reporting in line with international best practices.

Current Status: Sustain