Now there are more ways to access the Code of Ethics for Professional Accountants™ (the Code) developed by the International Ethics Standards Board for Accountants^® (IESBA^®, the Ethics Board). The newly released, web-based 2014 Code is designed to provide enhanced access and greater ease of use and navigation.

“Digital is now the preferred medium of communication. It is also how the tech-savvy world today will want to access and use the wealth of materials produced by the board. The board intends to move with the times, technologically,” said interim IESBA Chair Wui San Kwok. “The board will continue to look at ways to utilize the immense technological possibilities in making the Code and other board materials more accessible and usable, including enhancing research, link, and filter functionalities.”

Key features of the web-based Code include the ability to:

• Find relevant pages and sections using a powerful keyword search;
• Display definitions of key terms within the text;  
• Navigate sequentially or by using the interactive table of contents; and
• Access previous editions and links to translations, most of which are hosted on third-party sites.

Related to the new platform, the IESBA is currently consulting on ways to improve the structure and delivery of the Code. Additional features may be incorporated into the platform in the future. See the Consultation Paper released earlier this month, and submit your comments by February 4, 2015.

Users can continue to purchase print copies of the Code, or download or print it from the Ethics Board’s website: www.ethicsboard.org.  

About the IESBA
The IESBA develops ethics standards and other pronouncements for professional accountants worldwide under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IESBA, and the IESBA Consultative Advisory Group, which provides public interest input into the development of the standards and other pronouncements. The structures and processes that support the operations of the IESBA are facilitated by IFAC. Please visit www.ethicsboard.org for more information, and follow us on Twitter @Ethics_Board.

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 over 175 members and associates in 130 countries and jurisdictions, representing approximately 2.5 million accountants in public practice, education, government service, industry, and commerce.

After four days of outstanding presentations and discussions, and the opportunity to meet many of you, it is a great honor—as the newly elected President of IFAC—to speak with you as we conclude this World Congress.

Before I begin, let me express my deep appreciation to Warren Allen, the 16^th President of IFAC, for his leadership and tireless work over the past two years.  We could not have asked for any greater dedication or commitment.  You accomplished much—and we thank you

You leave big shoes to fill … thankfully, I wear high heels. 

I also want to thank all of you: almost 4,000 delegates from 140 countries who travelled so far to be with us.  Your input, exchange of ideas, and thoughts about the future opportunities for the accountancy profession are what make a World Congress.

***

I hope you’ve learned a lot, been inspired with new ideas, networked professionally and made new friends from across the globe.  And for those of you headed to the Vatican tomorrow for the audience with His Holiness, Pope Francis, you undoubtedly will have yet another unforgettable moment here in Rome—as will I, especially since I need to make my remarks in Italian!

We, in the accountancy profession, have long understood that thriving economies, prosperity, good governance and peace are found in societies and structures that are transparent and accountable. 

Accountants play an essential role in society: we support civil societies, and we enable strong and sustainable nations.

The graciousness of His Holiness to invite us for an audience symbolizes the importance of our profession in the advancement and support of civil societies.

***

One thing that this Congress has reinforced for me is that the years ahead for our profession, like the years in the past, will be about how we navigate through our choices, challenges, and opportunities.  

I recently read Hillary Clinton’s new book, “Hard Choices”, where she described how she thought of her choices and challenges, as the US Secretary of State, in three ways —and I was reflecting that we could consider our way forward in much the same way.

1. Issues We Have inherited—like recent regulatory activity and its potential unintended consequences.
2. New (and often unexpected) Events and Emerging Threats—which could be the next corporate failure or financial crisis.
3. Opportunities—like those presented by embracing technology and integrated thinking to create possibilities for innovation, leadership and relevance.

This Congress shined a light on the many, many choices, challenges, and opportunities that we face—individually, for our national bodies, as well as for IFAC and the global profession.

So as we prepare to return to our home countries from this World Congress, there is much to consider—and quite valuable information and many different perspectives to influence our actions as we move forward. 

*** 

The first plenary of this Congress, Businesses Thriving in Disruptive Times, featured an impressive group of CFOs from British Telecom, EY, Royal Dutch Shell, and Yahoo.  They discussed the choices, challenges and opportunities that businesses will likely face, particularly the increasing pace of change.

They came from a wide variety of backgrounds, and brought different perspectives, but highlighted some common themes.  The big trends noted included:

• How the world is becoming more and more global.
• The increasing shift from the west to emerging markets.
• The proliferation of huge amounts of data and the speed of technological changes—which brings huge opportunities and risks.
• That growth and investments going forward will no longer be just a financial issue, but must equally consider the societal impact—and how results are moving from the business page to the front page.
• The need for robust training programs and learning infrastructure—and how critical continuous learning and sharing of best practices will be.
• They emphasized the importance of the finance team being IT literate—but they also underscored that technology tools are an enabler - not an end, but a means.
• In a similar vein, they highlighted that data is not knowledge. Rather, we need to help develop insights from the data, to help decision makers identify the problems, and the solutions. 
• And they talked about the fact that CFOs—and professional accountants—need to listen, understand the external environment in which they work, and be the voice of reason.

One of my key takeaways from the session—and something very true in my own personal experience—is the importance of being inclusive of different backgrounds and cultures, and creating value together. They pointed out that diversity, in and of itself, is useless.  Inclusiveness is the key—embracing the variety of opinions, views, and perspectives that inclusiveness brings—and how it will enable better decisions.

One phrase I heard in this session that I will certainly use going forward is “future proof.”  This has to do with not taking anything for granted, and being prepared for and anticipating what’s next.  Talking about “what’s next”—I was given this globe, created here this week—I believe it is the first 3D printed prop ever for a World Congress.

But I have to say that the most important thing I took away from this session was that the finance function—and the accountancy profession—is transitioning from the passenger or navigating seat… to the driver’s seat.  To do this effectively, we must build our careers on deep foundations. We must engage in continuous learning by constantly reading—seeking new approaches and solutions that keep pace with the ever-changing business landscape.

One of the ways that IFAC hopes to contribute to this challenge of continuous learning and sharing of ideas is through the new Global Knowledge Gateway, which was launched on the IFAC website earlier this year.

The Gateway is an exciting platform for your use—and for member bodies to also share and learn.  It has a wealth of success stories, lessons learned, resources and information. 

It was originally conceived for accountants in Small and Medium Practices and Professional Accountants in Business—to provide greater support in these disruptive times.  But we quickly found the application and benefit of the Gateway to be much broader.  Its benefit extends to the entire profession, and even beyond.

This initiative is a great example of how we can address challenges, capitalize on opportunities and make good choices in deploying our resources in the most effective and productive way. 

When you return home from this Congress, please take time to join the 81,000 unique visitors who have already explored the Gateway. Submit a suggestion.  Comment on a discussion. Read about a different perspective. Contribute to the content or share a best practice from your part of the world. We will all be better working together.

***

The second plenary was Enhancing Government Transparency and Accountability. It focused on the need for enhanced public sector reporting and financial management.

We heard that some countries have learned lessons from the sovereign debt crisis—even if they weren’t directly affected. China, for example, is working toward a more open and transparent system. For them, the crisis showed the importance of high quality information and the need to promote accrual-based government accounting standards. And, with 14 million accountants already, China has introduced policy measures to strengthen the profession.

Other countries—such as New Zealand and Canada—have long been role models in the area of government accounting. It’s no coincidence that both performed well during the financial crisis.

But, as the Assistant Minister of Finance of China so aptly put it, Rome was not built in a day. Many countries have a long journey to achieve transparency and accountability in the public sector.

This is evidenced by the fact that the world is still drowning in debt. Debt to GDP in the G7 has increased from 60% to 120% since 1991. Many governments still don’t understand what they owe now and what they will owe later, so they aren’t considering the long-term impact of political decisions. Corruption and fraud are still too easy to conceal.

The bottom line is that it all comes down to the numbers and disclosures that are complete, comprehensive, reliable, and up to date. Governments must be held accountable, the same way companies are. And politicians need rules that incentivize good behavior.

Good accounting by itself will not solve any problems. But it will enable good decision making. And good decision making is essential for economic stability and growth. As one speaker so aptly put it, “Accrual accounting is about telling the truth.”

As I said earlier, Rome wasn’t built in a day. But we must be relentlessly committed to building a more accountable and transparent world over the long term.

For a long time now, IFAC has led the charge of calling for governments to ‘get their numbers right’.  We believe this is the #1 public interest issue for the profession.

Under Fayez’s leadership, IFAC has launched an initiative called Accountability Now.  This is a campaign, not a project.  Along with a wide range of stakeholders, we will intensify our efforts to promote awareness at the global and regional levels and help governments to move beyond commitment to implementation.

Of course, in order to successfully implement, governments must have adequate technical skills. IFAC has long been involved in PAO development and the development of the profession to benefit both the public sector AND the private sector. 

Let me pause here and tell you a story—a true story and an inspiring story.

At the end of Rwanda’s civil war, in which vast numbers of educated middle-class people were simply wiped out, the World Bank estimates that in 2008 there were only 45 accountants left in the country. 

This tiny number of accountants had no professional accountancy organization to support them.  It was a non-existent profession in a country that was itself barely surviving itself.

And with no accountants to provide assurance on the financials of any organization, it was almost impossible for Rwanda to attract much needed foreign direct investment.

Fast forward just 8 years.

This year, the 45 has become 285 registered accountants, supported by the Institute of Certified Public Accountants of Rwanda—ICPAR.  As this professional body has grown, in Rwanda today there is a government committed to the development of the profession, there is rule of law, there is peace and there is growing prosperity fuelled by growth rates that are among the best in Africa and far ahead of the developed world.

I’m particularly proud of IFAC’s work and that of our friends at the Institute of Certified Public Accountants of Kenya, the sponsoring body of ICPAR.  Ladies and gentlemen, Rwanda’s profession has only really just gotten back on its feet; it’s making great progress but of course it still has a journey ahead of it. 

I was delighted when ICPAR was admitted as an IFAC Associate Member in 2012. Is there anyone here from Rwanda?  Could you please stand? And recognize that I have highlighted just one of the success stories in the capacity building area.

While we’re talking about the region, it’s worth also noting the Mutual Recognition Agreement between the national PAOs of the East African Community.  Tanzania, Kenya, Uganda and Rwanda have created a regional platform for professional knowledge exchange and support.

To advance our capacity-building success, IFAC signed a historic memorandum of understanding with key groups in the international donor community. This agreement is referred to as “MOSAIC”—an acronym for Memorandum of Understanding to Strengthen Accountancy and Improve Collaboration.

Out of this agreement, we built (and just launched at this World Congress) the MOSAIC website, which will provide a “marketplace” to match the developmental needs identified by national professional accountancy organizations with the funding interests of potential donors.

Also out of this agreement, IFAC was granted almost 5 million pounds by the United Kingdom’s Department for International Development to support the establishment of professional accountancy organizations in 10 developing and fragile states over 7 years.

I want to thank Her Majesty’s Government and Secretary of State for International Development, Justine Greening—herself a professional accountant—for supporting this ground-breaking work. And I want to acknowledge IFAC’s Member Bodies in the UK for making DFID aware of the importance of the profession in developing countries. 

And now, I am delighted to announce the first three countries to be supported by DFID’s grant. They are:  Ghana. Rwanda. And Uganda!

Ladies and gentlemen, Accountability Now and PAO development are exciting initiatives. My challenge to you is to join us. Encourage YOUR governments to embark on the journey toward accrual-based accounting and budgeting.  Start a proper debate. Call on your finance minister. Raise awareness. Build a coalition. Help strengthen your PAO or regional organization by volunteering.  Encourage your PAO to help develop another PAO through mentoring, twinning, or other capacity building programs.

Together, we can advance the cause of good accounting… transparency and accountability… good decision marking… and economic growth and stability.

***

The final plenary focused on Integrated Thinking. We heard exciting developments from companies that are implementing integrated thinking and reporting to create sustainable value and drive performance. This is very much a strategic issue going forward.

We heard how society’s expectations of corporations and their actions have changed. This has led to organizations needing to respond to a wider set of risks—such as water scarcity and climate change. In addition, intangibles—such as relationships, intellectual and human capital—make up an increasing proportion of a company’s value. And they also determine their ability to create value in the future.

In response, organizations need to become more transparent and rethink their approach to reporting so that it’s more useful to stakeholders and the companies themselves. They need to present a picture of total value creation. And they need to provide a more accurate reflection of the impact they are having on society—including communities, suppliers, governments and employees. But they also need to change their thinking… and their behavior.  They need consider their resources… their relationships… their risks… and their opportunities-- in strategy and daily management. An example that really brought this home was given by Gold Fields’ CEO, Nick Holland, where we saw that 6 of the top 10 risks on their risk register were non-financial, or “soft issues.”

Intergrated thinking and integrated reporting are a prerequisite for good corporate governance. And connecting financial and non-financial information leads to more effective performance management.

As the panel told us, to be successful and sustainable, integrated thinking has to become part of a company´s DNA to help reshape thinking and relationships.

IFAC has long supported the International Integrated Reporting Council and, in September, we signed a Memorandum of Understanding to support the adoption of the IR Framework—which was launched last year.

This is the future of corporate management and reporting, and the accounting profession has a primary role to play. Your leadership in this area is going to be vital in taking that message to your countries.

I challenge you to be an active participant in advancing the IR Framework, explaining how business strategy, governance, performance management, sustainability are linked. The groundswell for IR and integrated thinking is rising quickly. It’s time to get on the train.

***

Ladies and gentlemen, as we move forward over the coming years, some things we do may make headlines. But most of the things we do will be more about shaping trend lines that will impact our world for future generations.

As Goethe once said:

“Knowing is not enough; we must apply. 

Willing is not enough; we must do.”

We must not only consider what we have learned here this week and have good intentions. We must also be intentional and take action.

Over the past several days, there were 34 sessions and over 200 speakers.  We heard valuable information. Different perspectives. 

There is much to consider.  I urge you to carry this experience home with you. To participate. Get involved. Take action.

Our choices and challenges, and how we handle them, will help shape the people we become—and the profession we lead. 

Individually we may be ordinary people, but together we can accomplish extraordinary things.

Thank you.

Mr. Luigi Casero,

Our host, CNDCEC President, Gerardo Longobardi,

Guest Speaker, Mr. Vicenzo La Via,

WCOA 2014 Organizing Committees particular thanks to IFAC management and staff,

IFAC Past Presidents: Bertil Edlund, Rene Ricol, Fermin Del Valle, and Goran Tidstrom,

Distinguished guests,

Ladies and gentlemen,

Good evening.

Before I begin, I’d like to note the passing in 2011, of Peter Agars an IFAC Past President, a regular World Congress attendee together with his wife Averil.  Although Peter is no longer with us, his son, Kent, also an accountant, has joined us here in Rome maintaining the Agars family’s long association with our World Congresses. 

***

On behalf of the International Federation of Accountants, IFAC, it is my honor and great pleasure to welcome you to Rome for the 19^th World Congress of Accountants.

We gather here on the 110^th anniversary of the first World Congress, held in St. Louis, Missouri, in the United States in 1904.

But that inaugural event is scarcely comparable, both in attendance and influence, to its modern counterpart.

At the turn of the 20^th century, it was known as the “Congress of Accountants” and was part of the 1904 World’s Fair. Historical records tell us that only 81 people attended and historians doubt whether it was a truly international event. Some, like J.M. Samuels, writing in The Accounting Historians Journal, have described the “slight international involvement” as “little more than window dressing.”

Compare that to this week’s attendance: More than 3900 delegates from 140 nations and all continents. Certainly, the modern World Congress of Accountants leaves no doubt this is a significant global event.

I have heard this event called the “Olympics of the Accountancy Profession,” perhaps because it is held once every four years, but I submit to you that it is collaboration, not competition, that brings us together. But, similar to the Olympics, we will actively celebrate. We will celebrate what we, as a profession, mean to the global community we serve.

***

The theme of this conference, “2020 Vision: Learning from the Past, Building the Future,” reflects the idea that we have come here to communicate and collaborate with others, sharing our past experiences and ideas for the future.

The experiences of our profession range from the days of Luca Pacioli’s handwritten ledgers to technology advances like cloud computing and 3D printing. But in coming here, each of us realize we must look beyond today to foresee how our profession can sustain and enhance its relevance tomorrow.

Even this venue, the Parco Della Musica, mirrors the theme of this Congress. This modern, 21^st century facility shares a city with structures thousands of years older, yet it is creating its own history as one of Europe’s most visited music facilities as well as a world-famous venue for international events like this.

And, to further underscore this theme, during the construction of the foundations for this magnificent facility, the remains of a sixth century BC villa were unearthed. The plans for the concert halls were modified, so that they could be built up and around the ruins, and so that the ruins could remain visible. They became an integral part of the project… the remnants of the ancient past intertwined with this futuristic structure.

I invite you to join us this week as we look at the intersection of history and what’s to come—and as we learn from the past and build the future.

Some might ask “What relevance do the ruins of an ancient society have to us who live in a modern, air-conditioned world of gleaming high-rise buildings?”

As we gather here in Rome, we walk in the footsteps of an ancient yet sophisticated civilization. That civilization brought us innovations still in use today, like concrete, newspapers, a government system that subsidized education, food, and other needs, and a system of roads and highways that allowed travel over great distances.

Historians have researched the reasons behind the decline of the mighty Roman Empire. Foremost among these, they found, were economic troubles, public sector overspending, and government corruption.

***

In 2014, more than 1,500 years after the fall of Rome, these issues still plague us: The aftershocks of the financial and sovereign debt crises are still being felt. More than six years later, nations remain in recession and governments still struggle with massive debt, high unemployment rates, and anemic economic growth.

And sadly, in nations where aid and investment is needed most, too much of it is lost due to shadowy and secret dealings.  Without doubt, there is a need for greater transparency and accountability.

Strengthening the accountancy profession in these nations and regions helps to combat corruption and waste. It can help curb overspending. It fuels economic development and growth.

So, truly, our vision for the future is not just for the accountancy profession—but also for the global business environment in which we operate, the prosperity of the economies we serve and ultimately the reduction of the incidence of poverty. 

***

Today, we commence a quadrennial event that provides an opportunity to hear from dignitaries of the finance and business community… speakers that represent some of the brightest and most innovative minds, not just from the accountancy profession, but also from business and industry, government, and global organizations.

We will have the opportunity to share ideas and best practices with accountancy professionals from all corners of the globe, and debate and discuss the trends, opportunities, and challenges of our modern profession. Many of you will leave this Congress with new thinking or with newly found access to resources. Hopefully all of you will leave with new and valuable professional contacts gained through the networking opportunities this event provides.

This Congress’ plenary sessions—focusing on businesses thriving in disruptive times, enhancing government transparency and accountability, and integrated thinking—provide information and expertise to help us find solutions to the challenges we face today. Similarly, the concurrent sessions deal with key issues in our profession such as ethics, capacity building, education, financial reporting, assurance, and business advisory services. These sessions promise to be informative, interactive, and innovative and I personally look forward to attending them.

So, as we begin this Congress, in a spirit of gaining inspiration from the past to build a promising future, I invite you to consider the following three questions:

• Firstly, How can we, the global accounting profession, continue to contribute to economic growth and stability?
• Secondly, How can we take on a larger role and leverage our talents and experience across the private- and public sectors?
• Thirdly, How can we remain leaders in areas like ethics and continue to uphold the integrity that is a hallmark of our profession? 

***

As I mentioned previously, one of the legacies of the Roman Empire was its highway system, and some of you may be familiar with the expression, “All roads lead to Rome.”

Today, I say “All roads lead from Rome.” I challenge each of you to use this World Congress of Accountants as a starting point from which your continued development as a professional accountant—and our future progress as a global accountancy profession—can be measured.

Thank you for joining us here at this important event in this historical city. It is my sincere wish that your experience here is a productive and rewarding one.

Thank you and enjoy the Congress.

The International Ethics Standards Board for Accountants^® (IESBA^®, the Ethics Board) today released for public comment the Exposure Draft (ED), Proposed Changes to Part C of the Code Addressing Presentation of Information and Pressure to Breach the Fundamental Principles. The proposals respond to the need for more robust and practical guidance to help professional accountants in business (PAIBs) deal with two matters on which they most often seek assistance in practice: their responsibility to produce financial reports that are faithful representations of the economics of transactions, and pressure to breach fundamental ethical principles.

“PAIBs play an important role in the financial reporting supply chain, and they may encounter pressure to act unethically. The proposed guidance will help them understand what their options are, and therefore better support them in fulfilling their responsibility to act in the public interest,” said interim IESBA Chair Wui San Kwok. “The proposal also clarifies that when preparing financial information, exercising discretion—for example, when selecting an accounting method—in a manner that is intended to mislead is not acceptable.

Among the proposed changes are:

• Fuller and more explicit guidance regarding PAIBs’ responsibilities when presenting information;
• Strengthened guidance on how a PAIB can disassociate from misleading information;
• An expanded description of pressure that may lead to a breach of the fundamental principles in the Code of Ethics for Professional Accountants™ (the Code) together with practical examples to illustrate different kinds of situations in which such pressure may arise; and
• New guidance to assist PAIBs in identifying and responding to pressure that could result in a breach of the fundamental principles.

The Ethics Board is also proposing a number of related changes to other areas within Part C of the Code.

“The development of this enhanced guidance reflects a rebalancing of the board’s focus to be more inclusive of PAIBs, a very large and important part of the accountancy profession,” noted IESBA Technical Director Ken Siong. “It will serve to remind PAIBs of some of the fundamental ethical principles by which they should be guided in their different roles within their organizations, and with which they must comply.”

How to Comment
The Ethics Board invites all those with an interest in international ethics standards for the accountancy profession to respond to the Exposure Draft. To access the ED and submit a comment, please visit the Ethics Board’s website at www.ethicsboard.org. Comments are requested by April 15, 2015. The Ethics Board encourages national and regional professional accountancy organizations to share the ED and encourage participation from their members and employees.

About the IESBA
The IESBA develops ethics standards and other pronouncements for professional accountants worldwide under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IESBA, and the IESBA Consultative Advisory Group, which provides public interest input into the development of the standards and other pronouncements. The structures and processes that support the operations of the IESBA are facilitated by IFAC. Please visit www.ethicsboard.org for more information, and follow us on Twitter @Ethics_Board.

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 over 175 members and associates in 130 countries and jurisdictions, representing approximately 2.5 million accountants in public practice, education, government service, industry, and commerce.