With the emergence of widespread economic and political uncertainty in 2022 in the wake of the COVID-19 pandemic, IFAC highlights the interconnection between global cooperation, the sustainability agenda, the need for strong public financial management (PFM) and the fight against corruption. IFAC’s 2022 G20 Call to Action builds off the four priorities from IFAC’s 2020 G20 Call to Action and the two key actions set out in 2021 to emphasize that we cannot make progress on any of these issues in isolation.

“Tremendous interconnectivity is required if we are to make any significant progress toward achieving the UN’s Sustainable Development Goals. This is not just within the accountancy profession, but also between the profession and other UN SDG stakeholders. We commend the efforts of the G20, and also call on G20 leaders to do even more,” said CEO Kevin Dancey.

“At the same time, the accountancy profession will continue to deploy its unique skills and competencies to support strong and sustainable public and private sector organizations, and strong and sustainable financial markets and economies. This is our public interest mandate.”

IFAC’s 2022 Call to Action and its focus on sustainability-related reporting standards, public financial management, and anti-corruption aligns with IFAC’s IMPACT approach. Introduced earlier this year, the IMPACT approach identifies the most important issues currently facing the accountancy profession, private & public organizations, and global financial markets & economies, and provides a framework for the profession to be able to work together to help drive constructive change. The IMPACT approach is a guide for where the accountancy profession should be headed, and a tool for increased collaboration and cohesion within the profession.

To strengthen global economies, societies, and the environment, and to continue to address challenges resulting from the COVID-19 pandemic, IFAC calls on G20 leaders to:

1. Make Sustainability a Reality, Not Just a Goal

• Support the IFRS Sustainability Disclosure Standards
• Implement policies for an inclusive transition
• Balance climate with broader ESG and reporting
• Recognize the role of professional accountants in developing decision-useful sustainability information

2. Support Public Financial Management and Fight Corruption

• Support professionalization in the public sector and adoption of IPSAS
• Implement crucial multilateral commitments against corruption and related issues
• Look to the global accountancy profession as central partners

3. Work Together for Collective Prosperity

• Minimize regulatory fragmentation to drive economic growth
• Understand the importance of global public health and its interplay with PFM
• Resolve global conflicts and focus on long-term issues

About IFAC
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of 180 members and associates in 135 countries and jurisdictions, representing more than 3 million accountants in public practice, education, government service, industry, and commerce.

The International Public Sector Accounting Standards Board (IPSASB), developer of IPSAS®, international accrual-based accounting standards for use by governments and other public sector entities around the world, has issued a new Exposure Draft (ED) proposing additional guidance on how two previously published Recommended Practice Guidelines (RPGs) can be applied now by governments and public sector entities to report on sustainability program information. This is ahead of any decision on the potential development of a sustainability reporting framework for the public sector.

Released today for public comment, ED 83, Reporting Sustainability Program Information —RPGs 1 and 3: Additional Non-Authoritative Guidance aims to demonstrate how RPG 1, Reporting on the Long-Term Sustainability of an Entity’s Finances and RPG 3, Reporting Service Performance Information can be immediately applied to report on sustainability program information. Additional Implementation Guidance is proposed, along with Illustrative Examples on such key topics as green bonds, carbon taxes, tax expenditures, and other programs developed to mitigate the effects of climate change and achieve the UN’s Sustainable Development Goals. The proposed guidance is intended to support implementation of the key areas highlighted in the recent OECD paper Green budgeting: A way forward. Like IPSAS, RPGs are intended to enhance the quality and transparency of public sector financial reporting by providing better information for public sector financial management and decision making. The IPSASB encourages public sector entities to follow RPGs when preparing their broader general purpose financial reports. 

Concurrently with the release of this ED, the IPSASB is considering the responses it received to its recent Consultation Paper, Advancing Public Sector Sustainability Reporting. It will decide whether and how to move forward in this area at its December 2022 meeting.

“Strong governance, good strategic and risk management, and accountability for the use of public sector resources are essential if governments are to play their parts in addressing climate change and sustainability more broadly,” said IPSASB Chair Ian Carruthers. “As we explore the potential development of a public sector sustainability framework, we urge governments and jurisdictions in the interim to look to the strong foundations for reporting on programs addressing both climate change and the SDGs that the IPSASB has already provided in its RPGs. This is now more explicitly addressed through the proposed additional guidance in this ED.”

Comments on ED 83 are requested by January 16, 2023, and will be reviewed and discussed by the IPSASB and will help shape the final Implementation Guidance and Illustrative Examples added to the existing RPGs.

Access the ED and its related At-a-Glance summary.

About the IPSASB

The International Public Sector Accounting Standards Board (IPSASB) works to strengthen public financial management globally through developing and maintaining accrual-based International Public Sector Accounting Standards® (IPSAS®) and other high-quality financial reporting guidance for use by governments and other public sector entities. It also raises awareness of IPSAS and the benefits of accrual adoption. The Board receives support from the Asian Development Bank, the Chartered Professional Accountants of Canada, the New Zealand External Reporting Board, and the governments of Canada and New Zealand. The structures and processes that support the operations of the IPSASB are facilitated by the International Federation of Accountants (IFAC). For copyright, trademark, and permissions information, please go to permissions or contact permissions@ifac.org.

About the Public Interest Committee

The governance and standard-setting activities of the IPSASB are overseen by the Public Interest Committee (PIC), to ensure that they follow due process and reflect the public interest. The PIC is comprised of individuals with expertise in public sector or financial reporting, and professional engagement in organizations that have an interest in promoting high-quality and internationally comparable financial information.

Today, the International Federation of Accountants (IFAC) released the first installment in a three-part publication series to help small- and medium-sized practices implement the International Auditing and Assurance Standards Board’s (IAASB) new quality management standards. The IAASB’s suite of quality management standards were issued in December 2020 and come into effect on December 15, 2022.

Installment One: It is time to get ready for the new quality management standards addresses the mindset change the new standards require and the shift in focus from quality control to quality management. It also includes developing a project implementation plan, an introduction to quality objectives, the risk assessment process, and assigning roles and responsibilities. Helpful meeting agenda templates practitioners can use with their colleagues are also included.

The three-part series will provide tips and guidance for practical implementation of the IAASB’s standards. Installment two will focus on developing a detailed implementation plan and installment three will address monitoring and remediation. Installment One joins IFAC’s collection of available resources that support quality management implementation, including webinars, articles and videos, as well as the IAASB first-time implementation guides, all of which are available at ifac.org/qualitymanagement.

IFAC acknowledges and appreciates feedback from IFAC’s Small and Medium Practices Advisory Group and Forum of Firms representatives in the development of the series.

About IFAC
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of 180 members and associates in 135 jurisdictions, representing more than 3 million accountants in public practice, education, government service, industry, and commerce.

This is the first installment in a three-part publication series to help small- and medium-sized practices implement the International Auditing and Assurance Standards Board’s new quality management standards. The IAASB’s suite of quality management standards were issued in December 2020 and come into effect on December 15, 2022.

With the emergence of widespread economic and political uncertainty in 2022 in the wake of the COVID-19 pandemic, IFAC highlights the interconnection between global cooperation, the sustainability agenda, the need for strong public financial management and the fight against corruption in this new G20 Call to Action.

Beginning in October 2021, the ASEAN Federation of Accountants (AFA) hosted a series of seven monthly workshops focusing on IFAC’s requirements for member organizations, the Statements of Membership Obligations (SMOs). The last workshop was held in May 2022.