ACCA Calls on G20 to Drive Reform of the Global Financial Agenda

By Acca, PRNE
Tuesday, May 25, 2010

G20 Meeting in Toronto Provides Incentives and Opportunities to Build a Sustainable Economy, Says Global Accounting Body

LONDON, May 26, 2010 - As the Group of Twenty nations (G20) prepares to meet in Toronto next
month, ACCA (the Association of Chartered Certified Accountants) has put
forward its key recommendations for global policy-makers.

On 26-27 June 2010, around 1500 delegates, including heads of state, will
convene to discuss the global financial crisis and assess what progress has
been made on the road to recovery. In a new paper in line with the theme of
the summit, Recovery and new beginnings, ACCA calls on world leaders to
deliver on promises made at previous summits, and go further in their efforts
towards financial sector reform, robust accounting standards, and strong,
sustainable growth.

"A repetition of a catastrophe on this scale is something neither
governments, nor the public, nor the global business community could
countenance," says ACCA Chief Executive, Helen Brand. "We feel the crisis has
provided both an incentive and an opportunity for the wholesale financial
reform which will lead to a sustainable global economy."

While ACCA commends the pledges made by the G20 to date, the Recovery and
new beginnings identifies several areas in which further action is needed. In

    - The G20 should turn its stated commitment to integrity in financial
      institutions into reality, by encouraging moves to instill ethical
      business codes and better risk management functions in the financial
      and corporate sectors

    - The G20 must broach the question of 'too big to fail' financial
      institutions, and consider as a serious option the separation of
      retail and investment banking

    - The G20 should now take concrete steps towards the implementation of
      IFRS (International Financial Reporting Standards), and ensure
      accounting standards are free from undue political influence

    - Sustainability and tackling climate change should be embedded in the
      G20's agenda, and ingrained in business practice through the use of a
      global carbon reporting standard

ACCA also raises questions about the structure of the forum itself: "It
is unclear how the interests of smaller economies are represented at the
table," says Helen Brand. "So while the G20 may be more inclusive than the
G8, some introspection is needed to make sure it is truly representative, and
avoid accusations that it is an exclusive club."

Though the G20 has existed since the financial crisis in Asia in 1999, it
is only over these past two years that it has really cemented as an entity,
and only at the summit in Pittsburgh last September that it was designated
the premier forum for international economic cooperation. Clearly, there
remains much still to do. But, concludes Helen Brand: "Given the leadership
it has shown thus far, ACCA is calling for the G20 to be made a permanent
fixture with a secretariat established, so its remit extends beyond the
short-term, and beyond economic issues, to a broader global governance role."

Notes to Editors

1) ACCA (the Association of Chartered Certified Accountants) is
the global body for professional accountants. We aim to offer
business-relevant, first-choice qualifications to people of application,
ability and ambition around the world who seek a rewarding career in
accountancy, finance and management.

2) We support our 140,000 members and 404,000 students in 170 countries,
helping them to develop successful careers in accounting and business, with
the skills required by employers. We work through a
network of over 80 offices and centres and more than 8,000 Approved
Employers worldwide, who provide high standards of employee learning and
development. Through our public interest remit, we promote appropriate
regulation of accounting and conduct relevant research to ensure
accountancy continues to grow in reputation and influence.

3) Founded in 1904, ACCA has consistently held unique core values:
opportunity, diversity, innovation, integrity and accountability. We
believe that accountants bring value to economies in all stages of
development and seek to develop capacity in the profession and encourage
the adoption of global standards. Our values are aligned to the needs of
employers in all sectors and we ensure that through our qualifications,
we prepare accountants for business. We seek to open up the profession to
people of all backgrounds and remove artificial barriers, innovating our
qualifications and delivery to meet the diverse needs of trainee
professionals and their employers.

4) The report can be downloaded from ACCA's website:

(Due to the length of this URL, it may be necessary to copy and paste
this hyperlink into your Internet browser's URL address field. Remove the
space if one exists.)

    For further information, please contact:
    Hannah Smith, ACCA Newsroom

For further information, please contact: Hannah Smith, ACCA Newsroom, +44(0)20-7462-8900, hsmith at

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