1. Inspiring confidence
PRACTICAL HELP FOR
STRONGER INSTITUTES
CAPACITY BUILDING FOR
A SUSTAINABLE PROFESSION
Focused and vibrant national accountancy institutes
play a key role in business development and economic
growth.
They nurture the brightest students and empower
them to become tomorrow’s leaders in all walks of life.
Strong national institutes inspire business confidence
and improve the conditions for inward investment.
ICAEW works with professional accountancy bodies to
build capacity and strengthen the national profession.
Our goal is for national bodies to become sustainable
for the long term – to arrive at the point where they
can grow and evolve independently.
ICAEW believes that every country deserves a dynamic
and strong national institute.

2. A PARTNERSHIP MODEL
Strong national accountancy bodies have a vital role
to play in their country’s economic architecture.
Businesses and organisations – small and large,
commercial and public sector – rely on the assurance
and advice that accountants provide.
ICAEW is committed to supporting national
accountancy institutes that seek to strengthen their
capacity and profile in their home country and
internationally.
Through capacity building projects, ICAEW shares the
development experiences that have helped us evolve
our own professional body.
Our international work often involves a twinning
arrangement – effectively a close working partnership
between ICAEW and another national body.
Twinning helps us to work together to strengthen
capacity in line with international standards, practices
and benchmarks.
PRACTICALHELPFORSTRONGERINSTITUTES
02

3. Capacity building work involving ICAEW is usually funded under international
development programmes intended to improve financial transparency, increase
business confidence, incentivise investment and underpin growth.
For countries to secure World Bank funding, it is usually a prerequisite
to have undergone a Report on the Observance of Standards and Codes
(ROSC) in Accounting and Auditing. This is conducted in cooperation with
a nation’s government.
A ROSC report compares in-country procedures to international standards
and benchmarks and recommends measures to strengthen financial reporting,
audit, oversight and institutional capacity.
Other sources of funding include the regional development banks and
the European Commission.
REVIEWS
KEY STEPS IN CAPACITY BUILDING
Government departments increasingly recognise the value of twinning
arrangements between ICAEW and their own counterpart body.
A project usually begins with consultations with all key stakeholders in a
country, including government departments and audit firms. Out of this
comes a strategic plan to strengthen the national body and raise its profile.
This focuses on:
l measures to build capacity in the national body;
l the professional qualification and steps to reform this in line with
international benchmarks;
l continuing professional development and steps to improve the culture,
uptake and oversight of CPD; and
l audit quality monitoring and steps to strengthen the regime and
its capacity.
Projects take careful account of the statements of membership obligations
(SMOs) required by the International Federation of Accountants, as well as
ROSC recommendations.
The outcomes sought involve combinations of:
l strengthened leadership, governance and capacity;
l a national professional qualification aligned to international benchmarks;
l an enhanced culture and regime of continuous professional development; and
l improved oversight of audit, with regulations, standards and practices
optimally aligned.
Projects
Outcomes
03

4. HOW HAS IT WORKED?
In its capacity building work in Africa, Asia and Europe, ICAEW
experts work with government departments, regulators, audit firms,
universities and colleges and others.
Their collective involvement is essential to deliver changes in
education and training, audit quality assurance and professional
ethics. Their participation also helps the national accountancy
institute to build its profile and positioning with its government,
business environment and profession.
Examples of projects undertaken by ICAEW include:
Bangladesh
In 2007–09, ICAEW experts worked with the Institute of Chartered
Accountants of Bangladesh to update ICAB’s professional qualification
in line with international benchmarks. ICAEW-trained tutors and
closer working with the university sector have helped realise the full
benefits of these reforms. A new ICAB strategy and strengthened
governance are helping to raise the profile of ICAB in Bangladesh
and internationally.
Botswana
ICAEW is currently working closely with the Botswana Institute of
Accountants to strengthen the national institute. A key milestone
was the joint development in 2010 of a three-year strategic plan. A
major highlight will be the delivery in 2011 of BIA’s first professional
accountancy qualification. Other joint initiatives will raise the profile
of BIA and make it the institute of first choice throughout Botswana.
Croatia
ICAEW’s quality assurance specialists have been working with the
Croatian Chamber of Auditors to build a strong oversight function.
This involves mentoring and training audit reviewers in the UK and
Croatia. A key goal is to enable the Chamber to align to the European
Union Statutory Audit Directive. ICAEW is also undertaking similar
work in other EU pre-accession countries and within the EU itself.
04

5. The work ICAEW undertook and the memorandum
of understanding that now exists between our two
organisations, has gone a long way to moving
ICAB towards a new qualification of greater
international standing.
Dr Jamaluddin Ahmed, President, Institute
of Chartered Accountants of Bangladesh
A country without its own professional qualification
is in a bad situation. ICAEW is really taking us by the
hand into difficult areas. They know exactly what
they are doing. It’s not an experiment.
Duncan Majinda, CEO, Botswana Institute
of Accountants
ICAEW has helped establish a sustainable approach,
first to set up and then to improve audit oversight
procedures. And it has provided the Chamber with
examples of materials relating to inspections that
it can provide to its own members.
Ana Krivicˇic´, President, Chamber of Auditors, Croatia
05

6. Further information
For information on ICAEW’s capacity building work
worldwide contact:
Mark Campbell
T +44 (0)20 7920 8448
E mark.campbell@icaew.com
icaew.com/capacitybuilding
MKTPLN9760 10/10
ICAEW has more than 134,000 members working
in over 160 countries. Our members provide
financial knowledge and guidance based on the
highest technical and ethical standards. They are
trained to challenge people and organisations to
think and act differently, to provide clarity and
rigour, and so help create and sustain prosperity.
ICAEW ensures these skills are constantly
developed, recognised and valued.
ICAEW pioneers new thinking in many areas
of accounting and auditing. It works with
international bodies, contributing technical
expertise and practical advice for strengthening
the accountancy profession.
ICAEW works with other professional bodies and
government institutions on the practical steps
involved in the adoption of regulations, standards
and benchmarks.
Because of us, people can do business with
confidence.