Institute of Certified Public Accountants of Rwanda (ICPAR)

DATE:

MAY 2011

TO:

MEMBERS

FROM:

ICPAR SECRETARIAT

PURPOSE:

UPDATE ON ACTIVITIES

Content

The report is organized by the following headlines


About ICPAR: The Regulator of the Accounting Profession in Rwanda




ICPAR Offices: Partitioning Complete. Furnishing in Progress




ICPAR Strategic Plan and Bi-Laws: 2nd stakeholder meeting held




SMP and SME Support: Resources and tools


Continuous Professional Development (CPD): ISAs Workshop held
Professional Standards Update: New IFRS 10,11,12 and 13 issued.
Pan Africa Federation of Accountants: Launched in Senegal


ICPAR/ Universities Partnerships: Students make remarkable progress

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About ICPAR The Institute of Certified Public Accountants of Rwanda (ICPAR) is the Professional Accountancy Organization (PAO) mandated by law number 11/2008 to regulate the Accounting profession in the republic of Rwanda. ICPAR is the only body authorized by law to register and grant practicing certificates to Certified Public Accountants (CPAs) in Rwanda. Certified Public Accountant Certificate holders that are registered as members of ICPAR are entitled to the CPA (R) designation. The Institute exists to serve public interest and has wide-ranging responsibilities, including promotion and adherence to financial reporting, auditing and ethical standards. The Institute has a responsibility for regulating and promoting efficient accounting practices in public interest. To achieve these objectives, ICPAR is getting financial support from the Government of Rwanda, World Bank and other development partners under the Basket Fund initiative. The purpose of this report is to provide an update on activities and programs for the period 16th April to 15th May 2011.

ICPAR Offices The Partitioning of the ICPAR Offices in Prester Building, Kakiru, opposite Top Tower hotel is complete. The offices are being furnished and the secretariat team will move in shortly.

ICPAR Strategic Plan and Bi-Laws The development of the ICPAR Strategic plan is in progress. The second stakeholders meting was held on the 13th of May 2011. The session dwelt on the strategic plan and the bi-laws. We thank all those who attended. After this stage we shall process and issue the draft strategic plan and bi-laws for further comment before tabling before the Council for consideration and subsequent approval. Members are urged to play an active role in the development of the strategic plan as it is a critical document that will guide the Institutes objectives, policies and processes for several years to come.

SMPs and SME Support This section was covered in the last communication. We have deliberately repeated it as a reminder to take advantage of the tools we have availed on the website. Small and Medium size Practices (SMPs) play a key role in the development of the SME sector and the economy at large. In particular they offer business advice and audit services to SMEs. We have established a resource page on the ICPAR website to equip SMPs with the tools to meet challenges such as,

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a) Effective practice management ( eg strategic planning for your firm) b) Audit of SMEs using ISAs c) Quality Control management Please visit the website www.icparwanda.com and click on “SMPs”

Professional Standards Update The IASB has issued new standards as shown below.

IFRS 10 Consolidated Financial Statements builds on existing principles by identifying the concept of control as the determining factor in whether an entity should be included within the consolidated financial statements of the parent company. The standard provides additional guidance to assist in the determination of control where this is difficult to assess. IFRS 11 Joint Arrangements provides for a more realistic reflection of joint arrangements by focusing on the rights and obligations of the arrangement, rather than its legal form (as is currently the case). The standard addresses inconsistencies in the reporting of joint arrangements by requiring a single method to account for interests in jointly controlled entities. IFRS 12 Disclosure of Interests in Other Entities is a new and comprehensive standard on disclosure requirements for all forms of interests in other entities, including joint arrangements, associates, special purpose vehicles and other off balance sheet vehicles. IFRS 13 Fair Value Measurement will improve consistency and reduce complexity by providing, for the first time, a precise definition of fair value and a single source of fair value measurement and disclosure requirements for use across IFRSs.

CPD Alert ISAs Workshop The International Standards on Auditing (ISAs) Workshop was held on 26th April 2011 at the Serena Hotel. Eighty five delegates attended. The sessions generated exciting debate around audit issues and challenges. The speakers were Peter Rutaremara, ICPAR President; Richard Kamami, the Practice Monitoring Manager at ICPAK( Kenya) and David Muchiri, Manager, Audit and Assurance at Ernst Young Rwanda. We congratulate members for turning up in large numbers. This was a positive step towards enhancing technical and professional competencies among partners and staff in our Audit Firms. Leadership and Management Forum The first ICPAR Leadership and Management forum will be on the 31st of May 2011. Special themes will be discussed about corporate leadership, pitfalls and success. This forum is an essential incubator for future corporate “tigers” and “giants”

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PAFA Launched The Pan African Federation of Accountants (PAFA) was launched in Senegal on the 5th and 6th May 2011. PAFA is an Africa-wide body responsible for coordinating the affairs of the accounting profession in the Africa Region. ICPAR is a full member of PAFA having recently been admitted as a full member of the East Central and Southern Africa Federation of Accountants ( ECSAFA). We shall provide updates on PAFA activities in days a head.

ICPAR- Universities and Colleges Students Partnership University students have shown extraordinary commitment to participate in the important work of building the accounting profession in Rwanda. They have established Accounting student associations for their universities. Through these associations, students will organize activities and fora pitched on accounting themes as well as other programs eg social responsibility initiatives. ICPAR will work closely with them to actively reaffirm our values and commitment to development of the accounting profession in Rwanda. We provide the following updates; a) Kigali Independent Universty: They have elected officials of Accounting Students Association (ASA) ULK chapter. Most students are determined to sit for their technician and professional accounting exams in December 2011. A fruitful meeting was held on 21st April between ICPAR and the university rector to discuss way forward on this initiative. b) Adventist University of Central Africa (AUCA) With support of their lecturers, the students have elected ASA AUCA Chapter officials. They held a major meeting on 15th May 2011 on career advice and way forward. Over 200 students attended this most successful forum. Most are now keen to commence accounting studies. c) Kigali Institute of Management ( KIM) The students have elected officials of ASA KIM Chapter. Most of them have already enrolled for technician and professional accounting courses. More are enrolling and we are set to see the students test their leadership skills before joining the job market. d) School of Finance and Banking (SFB) The students have elected officials of ASA SFB Chapter. Most of them have already enrolled for technician and Professional accounting courses. More are enrolling and we are set to see them test their accounting and leadership skills before joining the job market.

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