Join Accountancy Europe, the Association of Chartered Certified Accountants (ACCA), SMEunited and IFAC for The impact of bribery and corruption on SMEs,under the auspices of the Czech Presidency of the European Union.
Corruption and bribery are not limited to multinationals engaging with high levels of government. Small and medium-sized enterprises (SMEs), which are part of almost every supply chain, also face those problems.
The International Auditing and Assurance Standards Board (IAASB) and International Ethics Standards Board for Accountants (IESBA) welcome today's announcement from the International Organization of Securities Commissions (IOSCO) of its support and encouragement for the IAASB’s and IESBA’s work on developing standards relating to assurance of sustainability-related information. The IAASB and IESBA acknowledge that stakeholders areincreasingly seeking assurance of sustainability-related information and that it is important to respond to market demands with robust standards applicable to all sustainability assurance providers.
IAASB Chair Tom Seidenstein said: “There is a clear need for ongoing dialogue and collaboration to ensure sustainability reporting, assurance, and regulation develop in a cohesive manner to provide decision-useful information to stakeholders. We are pleased to have IOSCO’s support for our ongoing work to enhance sustainability assurance standards and look forward to continuing our strong, fruitful relationship with IOSCO and others.”
IESBA Chair Gabriela Figueiredo Dias said: “Ethics standards, including independence requirements, are foundational to public trust in the assurance of sustainability-related information. It is crucial and in the public interest that all assurance providers, whether or not they are from the accountancy profession, adhere to the same high bar of ethical behavior and independence when engaged in such assurance work. We have given high priority to bringing to market fit-for-purpose ethics and independence standards in this area and look forward to close coordination with IOSCO and IAASB on this journey.”
The IAASB meets this week to continue discussions and vote on its sustainability assurance project proposal to develop an overarching standard for assurance engagements on sustainability. The standard will provide a global baseline for all professional assurance providers providing assurance on any sustainability information being reported, if the preconditions necessary for effective assurance are met.
The IESBA meets this week to consider possible approaches to standard setting in relation to sustainability assurance and sustainability reporting, recognizing that professional accountants in business play a “first line of defense” role in preparing and presenting trustworthy sustainability information. The IESBA will also consider the applicability of its standards to assurance providers outside of the accountancy profession. The IESBA anticipates approving a project plan by December 2022.
The IAASB and IESBA will continue to closely collaborate with IOSCO and other regulatory and standard-setting bodies to inform the development of robust standards that foster independent, high-quality engagements and globally consistent practices.
About the IAASB The International Auditing and Assurance Standards Board develops auditing and assurance standards and guidance for use by all professional accountants under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IAASB, and the IAASB Consultative Advisory Group, which provides public interest input into the development of the standards and guidance. The structures and processes that support the operations of the IAASB 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 IESBA The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA serves the public interest by setting ethics standards, including auditor independence requirements, which seek to raise the bar for ethical conduct and practice for all professional accountants through a robust, globally operable International Code of Ethics for Professional Accountants (including International Independence Standards).
The IESBA believes a single set of high-quality ethics standards enhances the quality and consistency of services provided by professional accountants, thus contributing to public trust and confidence in the accountancy profession. The IESBA sets its standards in the public interest with advice from the IESBA Consultative Advisory Group (CAG) and under the oversight of the Public Interest Oversight Board (PIOB).
IFAC welcomes the opportunity to respond to IPSASB’s Consultation Paper on Advancing Public Sector Sustainability Reporting. As the global voice of the accountancy profession, IFAC represents over 180 professional accountancy organizations in 135 jurisdictions, thereby representing more than three million professional accountants worldwide.
Since 2017, IFAC and ACCA have gathered data across the G20 on the attitudes and opinions of the general public towards their tax systems, and the actors involved in them. Reflecting the views of over 5,600 people across 14 countries, this survey—the first that looks beyond the world's largest economies—provides an insight into whom they trust and what concerns them, backed up by expert opinion from professionals, academics and tax authority officials.
Economic crimes are significant obstacles to the UN Sustainable Development Goals, and professional accountants can play a pivotal role to clear a path. This guest blog by Kevin Dancey, CEO of the International Federation of Accountants (IFAC), marks the launch of IFAC’s new Action Plan for Fighting...
Today, the International Federation of Accountants (IFAC) issued its action plan to enhance the accountancy profession's contribution to, and support of, a robust anti-corruption ecosystem encompassing a diverse array of participants and policies. The Action Plan for Fighting Corruption and Economic Crime sets out more than 30 specific actions for IFAC and the accountancy profession related to education, evidence-based policy, global standards, partnership, and thought leadership.
“Corruption and related economic crimes, such as money laundering, bribery, tax evasion and fraud, are significant obstacles to economic growth and human development and, ultimately, to achieving the UN Sustainable Development Goals—all seventeen of them,” said IFAC CEO Kevin Dancey. “Our Action Plan illustrates some time tested and some new ways that make it clear that the global accountancy profession is a central ally in the fight. We look forward to working with our member organizations and other partners to make a real difference and drive positive change.”
The Action Plan embodies an enhanced commitment by the accountancy profession to fighting corruption, as well as economic crime more broadly. It harnesses the profession’s reach across public practice, business, and the public sector to both contribute directly to the fight against corruption and indirectly by supporting integrity and transparency in business and government, as well as effective global and domestic policymaking.
The Action Plan was developed with extensive engagement across IFAC’s 180 member organizations, as well as our advisory groups, network partners, and other key global organizations. Taking inspiration from the International Bar Association’s (IBA) Anti-Corruption Strategy for the Legal Profession, the Action Plan was developed in close coordination with the IBA, with whom we will continue to coordinate to help bring increased energy to this important work.
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.
New Action Plan Supports Robust Anti-Corruption Ecosystem
65 organizations today endorse a joint statement calling for stronger alignment of regulatory and standard-setting efforts around sustainability disclosure.
They encourage major actors, including the International Sustainability Standards Board (ISSB), the US Securities Exchange Commission (SEC) and the European Financial Reporting Advisory Group (EFRAG) to continue to work closely together.
Capital market participants are supportive of establishing a global baseline of sustainability disclosure requirements, on top of which local jurisdictions can add their own interoperable reporting requirements.
Sixty-five companies, investors and professional accounting firms from across the world add their voices to the call for major standard-setting efforts to more closely align with and support a global baseline for reporting sustainability-related information.
The endorsed statement was developed jointly by the World Business Council for Sustainable Development (WBCSD), the Principles for Responsible Investment (PRI), and the International Federation of Accountants (IFAC). In addition to formal consultation responses, this public statement makes clear the momentum and encouragement behind stronger alignment between sustainability standard-setting efforts.
Significant efforts by the International Sustainability Standards Board (ISSB), the US Securities and Exchange Commission (SEC), and the European Commission together with the European Financial Reporting Advisory Group (EFRAG), all aim to address the need to enhance and evolve corporate reporting to include and consider sustainability information. However, current draft standards and initiatives are not technically compatible in terms of concepts, terminologies, and metrics.
As these proposed sustainability-related disclosure requirements are refined and finalized, leading financial market participants are asking financial market regulators to avoid regulatory and standard setting fragmentation by aligning on key concepts, terminologies, and metrics on which disclosure requirements are built.
A comprehensive global baseline of sustainability disclosures is required for reporting entities to avoid undue burden and for investors to make investment decisions that truly contribute to sustainable outcomes.
A globally consistent, comparable, reliable, and assurable corporate reporting system is indispensable in providing all stakeholders with a clear and accurate picture of an organization’s ability to create sustainable value over time.
The endorsed statement released today is signed by:
Achmea Investment Management
ADM
Arçelik Global
Assicurazioni Generali
Ayala Corporation
Baloise Asset Management
BCSD Taiwan X Taiwan Sustainable Finance Platform
BDO
Beach Point Capital Management
Borealis Group
Boston Trust Walden
Brunel Pension Partnership
Bühler Group
Calvert Research and Management
CentraRSE
Dalton Investments
Dana Investment Advisors
DBS Group
de Pury Pictet Terrettini
Deloitte
Desjardins Global Asset Management
DNV
East Capital Group
Ecofi
EFG Asset Management
EmergeVest
Empresas CMPC S.A.
ENI S.p.A.
Equitile Investments
Ernst & Young Global Limited
Etica Funds – Responsible Investments
Future Super
GAM Investments
Grant Thornton International, Ltd.
Hewlett Packard Enterprise
HÖ Sabanci Holding
Holcim Ltd
Honda Motor Co., Ltd.
Ingka Group
Investment Management Corporation of Ontario
Kieger
KPMG International
Lyrical Asset Management
Mercedes-Benz Group AG
Nestlé
Newton Investment Management
Northern Ireland Local Government Officers’ Superannuation Committeee
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.
About PRI The Principles for Responsible Investment (PRI) is the world’s leading proponent of responsible investment. Supported by the United Nations, it works to understand the investment implications of environmental, social and governance (ESG) factors and to support its international network of investor signatories in incorporating these factors into their investment and ownership decisions. The PRI acts in the long-term interests of its signatories, of the financial markets and economies in which they operate and ultimately of the environment and society as a whole. Launched in New York in 2006, the PRI has grown to more than 5,000 signatories, managing over US$121 trillion. For more information visit www.unpri.org
About the World Business Council for Sustainable Development (WBCSD) WBCSD is the premier global, CEO-led community of over 200 of the world’s leading sustainable businesses working collectively to accelerate the system transformations needed for a net zero, nature positive, and more equitable future. We do this by engaging executives and sustainability leaders from business and elsewhere to share practical insights on the obstacles and opportunities we currently face in tackling the integrated climate, nature and inequality sustainability challenge; by co-developing “how-to” CEO-guides from these insights; by providing science-based target guidance including standards and protocols; and by developing tools and platforms to help leading businesses in sustainability drive integrated actions to tackle climate, nature and inequality challenges across sectors and geographical regions.
Our member companies come from all business sectors and all major economies, representing a combined revenue of more than USD $8.5 trillion and 19 million employees. Our global network of almost 70 national business councils gives our members unparalleled reach across the globe. Since 1995, WBCSD has been uniquely positioned to work with member companies along and across value chains to deliver impactful business solutions to the most challenging sustainability issues.
Together, we are the leading voice of business for sustainability, united by our vision of a world in which 9+ billion people are living well, within planetary boundaries, by mid-century.
