chairman’s - icpak · all the members, stakeholders, ... in kenya and around the world, who...

O C T O B E R - D E C E M B E R 2 0 1 7NewsletterCHAIRMAN’S

OCTOBER - DECEMBER 2017

2

As we approach another Festive season, with all the joy, excitement and merriment that is part of the tradition, I am delighted to extend Season’s Greetings to all the members, stakeholders,

friends, associates and partners of ICPAK. The festive season provides an opportunity for us all to pause, reflect, and celebrate the things that we rightly cherish. It is a time when we, as members, as families, and as communities turn our minds to what is important -family, friendship, neighborliness and homecoming.

As you are aware we are a profession that is charged with the responsibility of safeguarding public interest for the good of all. We also have the resource of our scattered professionals in Kenya and around the world, who support each other, and who value their connection with their homeland. A major priority during my first year in office is to engage with, and listen to our members. That engagement confirmed for me that our members have a very positive vision for the future of ICPAK, and are determined to make their contribution to positive change.

Dear members, there is much to be proud of, and much to build on, as we prepare for the New Year and look forward with hope and courage to realizing all the possibilities that it presents. Allow me to enumerate some of notable milestone that we achieved this year.

CUSTOMER FOCUSMembership focus remains pivotal element in the Institute and through the years, we have put in place mechanisms geared towards making membership to ICPAK a rewarding experience. The increased customer focus this year resulted in recruitment of additional new members as follows: 1185 members; 453 associate members. This brings the total of registered members to 21,163. At the same time 72 members were issued with practicing certificates bringing a total number of practising members to 2329.

EditoriaL:

Members of the Council

ChairmanFCPA Julius Mwatu

Vice ChairmanCPA Rose Mwaura

Chief Executive OfficerCPA Edwin Makori

Council MembersFCPA Pius NduatihFCPA Wycliffe ShamiahCPA Geofrey Malombe

CPA Obare NyaegaCPA Susan OyatsiCPA June KivindaCPA Samuel OkelloCPA Denish OsodoMs Damaris Kimosop

EditorMbugua Njoroge

Staff WriterValerie Alusa

National ChairmanFCPA Julius Mwatu

2


3

To ensure better services in the coming days, the Institute is undertaking Know Your Member (KYM) initiative. By the end of the day, the Institute wants to now you better in terms of who you are, where you work, professional interests and specialization and know how to serve you better. This will be done through the use of automated customer service processes. This is meant to improve our operations and increase efficiency. In due course, you will be requested to update your details in the database.

Continuous Professional Development (CPD) EventsThe Institute values continuous professional development for our members across board. This is the only way of keeping members abreast with continuous evolving professional, social and economic realities in our world. Such changes call the Institute to continuously review its CPD offerings. For instance, this year alone, the Institute mounted several inaugural events that were meant to address unique needs of our members as highlighted below:

Inaugural ICPAK & NSE Training on Securities Markets and Investments: ICPAK in collaboration with the Nairobi Securities Exchange (NSE) held the Inaugural Securities Markets and Investments inaugural training on 29th November in Mombasa. The training aimed at developing and enhancing capacity on Securities Markets, investment opportunities, as well as Governance and Legal requirements in line with Capital Markets regulations.

ICPAK CEO CPA Edwin Makori (left) and UFAA CEO FCPA Kellen Kariuki during signing the MoU

Inaugural ICPAK & UFAA Training on Unclaimed Financial Assets: ICPAK and the Unclaimed Financial Assets Authority (UFAA) held the auditor’s workshop on Unclaimed Financial assets on 27th -29th November 2017 to sensitize practicing auditors on the provisions of Unclaimed Financial Assets Act, 2011 and their role in ensuring the holders comply with Unclaimed Financial Assets Act, 2011 (The Act). This follows the Memorandum of Understanding (MoU) that was signed by the two institutions to explore possible areas of collaboration in deepening UFAA’s mandate.

Inaugural Professional Management Seminar for Millennials: The Institute held the inaugural Professional Management seminar for millennials on 29th - 1st December 2017 in Nakuru. The seminar aimed at equipping millennials with knowledge, skills and exposure needed for organization adaptation in these changing times.

The Inaugural Financial Management and Reporting Seminar for Maritime, Shipping and Transport Industries: The maritime industry faces the threat of being bogged down by numerous occurrences of fraud, poor accounting practices and lack of efficiency. Cognizant of the circumstances, the institute organized the Financial Management and Reporting Seminar for Maritime, Shipping and Transport Industries to provide a forum through which efforts to streamline the sector can be deliberated. The event was held on 27th -29th November this year in Mombasa.

The Institute also facilitated several inhouse trainings. The Institute trained officers from the following Organisations: Kenya Tea development Agency (KTDA), Kenya Film Commission, Kenya National Trading Corporation, Bungoma County government, Nursing Council of Kenya, Nyahururu Water and Sanitation Company among others.


4

Inaugural Australian Chapter EventThe 3rd ICPAK chapter was opened in Australia in September this year. Themed Global Thinking for Competitiveness, the event attracted 80 participants and was graced by the Kenyan High Commissioner H.E. Mr. Isaiah Kabira, and CPA Australia. During the event, a caretaker board was appointed to quick start the operations of the Chapter, CPA Casty Nyaga Hughes who was appointed as the board chair assisted by CPA Stephen Kuria, Managing Director of Caleb Partners Ltd and Chairman of Kenyan Australian Chamber of Commerce.

Other EventsThe Institute has also sustained its support towards the success of the Africa Congress of Accountants (ACOA). The 4th Edition of ACOA was hosted by the Institute of Certified Public Accountants of Uganda (ICPAU) in Kampala in May 2017 where the Institute was ably represented by a substantive number of delegates. The Institute also held its Annual Executive seminar in Hong Kong in November and the 4th C suite Seminar in Mumbai, India. The two events were well supported by members.

World Congress of Accountants It is instructive to note that the next IFAC’s World Congress of Accountants, which is held every four years will take place in Australia in November 2018. Given the Institute’s impetus and contribution towards IFAC activities, I would like to urge our members to register and attend this important global event.

REGULATION OF ACCOUNTING PROFESSION

The Institute has put in place an elaborate standard professional framework for our members. During the year the Institute has created awareness on professional

standards requirements by IFAC and PAFA. It is important to note that the International Financial Reporting Standard (IFRS) 9 which replaces International Accounting Standard (IAS) 39 is expected to come into force on 1st January 2018. ICPAK has prepared guidelines on implementation of the standard which will ensure consistent and harmonised implementation in the Kenyan market. IFRS 17 is another new standard which is due for implementation for periods commencing or after 1st January 2018. Several other new standards are due for implementation beginning 1 January 2018. IPSAS 40 on Public Sector Combinations will take effect on the 1st January 2019. The Institute will continue keeping our members abreast on these important professional developments.

Financial Reporting Award 201716th edition of FiRe Award 2017 was successfully concluded with the FiRe Award Conference and Gala Dinner and Award Ceremony on 16th and 17th November 2017 respectively. A total of 92 private sector entries were received this year and in addition to 364 public sector entities which were received and evaluated. The total number of 456 entries represents a 14% increase from

Delegates pose for a photo during the 4th C suite Seminar in Mumbai India FiRe Award 2017 Chief Guest,

James Chan


5

the previous year where a total of 400 entries were received and evaluated. I would like to take this opportunity to congratulate winners and thank entities that submitted their entries in the prestigious Award chaperoned by ICPAK, Capital Markets Authority, Nairobi Securities Exchange and Public-Sector Accounting Standards Board. Accolades also go to all our sponsors who supported this event as well as all other Institute activities throughout the year.

THOUGHT LEADERSHIPThe Institute continues to support accountability measures in the country. Early this month, the Institute successfully mounted its 2nd public lecture on anti-corruption whose theme was “Paying the price of Corruption in Kenya: For How Long?” The event provided a platform for the government, leaders, anti-corruption agencies, professional associations, civil society organizations, the private sector, religious bodies and interested citizens an opportunity to engage on

corruption issues for better service delivery from public institutions.

Whistle-blower protectionRegarding whistle-blower protection, the Institute is preparing a draft policy of whistle blowing protection for its members. At the same time we are monitoring whistle-blower protection legislation. We urge concerned parties to expedite the process. We believe that these initiatives will undoubtedly go a long way in protecting our members who are whistle-blowers especially those who work in the public sector. We shall be informing you about the progress in due course.

CPA Parliamentary Caucus Allow me to congratulate the following ICPAK members who made it to parliament in the just concluded 2017 general election.

1. CPA Hon. Owen Yaa Baya – Kilifi North Constituency2. CPA Hon. Mohamed Hire Garane – Lagdera Constituency

3. FCPA Hon. Amos Kimunya – Kipipiri Constituency4. CPA Hon. Michael Mwangi Muchira – Ol Jorok Constituency 5. CPA Hon. Moses K. Lessonet – Eldama Ravine Constituency6. CPA Hon. John Mbadi Ng’ongo- Suba Constituency

We are d e l i g h t e d to have our own in the Pa r l i amen t . We urge these m e m b e r s to use their professional d i s p o s i t i o n in the august House and i n f l u e n c e p o s i t i v e change in l e g i s l a t i v e a f f a i r s . However, we note that CPA numbers have declined from 13 in the last P a r l i a m e n t to only 6 members in the current Pa r l i amen t . This should

serve as a wakeup call to members NOT to shy away from active politics. It is only through this route that we can have a meaningful change in our body politics. JFK Kennedy once said, ‘If more politicians knew more poetry and more poets knew more politics this world will be a better place to live in.” Borrowing from Kennedy, I dare add that ‘If more politicians knew the subject of accountancy and more accountants knew more politics, Kenya’s future will be guaranteed.’

Likewise, let me congratulate our members who are currently serving in different County dockets either

Sameer Africa Celebrate after being announced the overall winner of FiRe Award 2017

CPA Hon. John Mbadi Ng’ongo

CPA Hon. Owen Yaa Baya

FCPA Hon. Amos Kimunya


6

as County Executive Member (CEC) or Chief Officer. Their appointment to these positions is a testament that CPA brand is being recognized positively in both public and private spheres. To sustain and grow our sphere of influence, our members are obligated to continually adhere to our professional ethos.

Thought Leadership EngagementsThe Institute continues to advance thought leadership agenda with our partners and stakeholders. I would wish to mention here, the existing close partnership with the National Treasury. Currently the Institute has developed draft policy proposals for possible

consideration by the National Treasury while overhauling the envisaged income tax regime.In September, I had an opportunity to pay a courtesy call on H.E. Anyang Nyong, Kisumu County Governor. Hon. Nyong invited the Institute to partner with his government in advancing ideals of good governance at the County. We will be progressing this partnership to its logical conclusion not only with Kisumu county but with all other county governments in the country.

Branches and Chapters UpdateAs you are aware, chapters & branches are expected to participate

in developing strategies, priorities and action plans using the ICPAK’s Strategic Plan as the blue print. To this end, I am pleased to note that our 9 branches are working towards enhancing recognition of CPA brand at the County level. This is being achieved through participation in forums/ debates that influence policy, lobbying for inclusion of CPAK’s on boards to enhance governance especially in governmental agencies at national and county levels. The branch network has enabled the Institute to interface and engage with members, county government officials and other stakeholders. In this regard, I would like to thank Branch and Chapter leadership for having lived up to their mandate.

I am delighted to note that the Institute now has three international Chapters namely; United Kingdom, South Africa and the newly inaugurated Chapter in Australia. During the opening of the Australian Branch, a caretaker board was appointed to quick start the operations of the Chapter, CPA Casty Nyaga Hughes was appointed as the board chair assisted by CPA Stephen Kuria, Managing Director of Caleb Partners Ltd and Chairman of Kenyan

Australian Chamber of Commerce.

INSTITUTIONAL SUSTAINABILITY

GovernanceThe year witnessed the exit of FCPA Fernandes Barasa after expiry of his two-year term in June 2017. In recognition of his contribution to the Institute, the council held a farewell dinner in honor of the immediate former chairman FCPA Fernandes Barasa in November this year at Intercontinental Hotel after 2 years of service. We thank him for his critical insights and achievements during his tenure.

H.E. Anyang Nyong’o, Kisumu County Governor

FCPA Fernandes Barasa officially hands over the mantle to FCPA Julius Mwatu in July this year


7

Following competitive elections in June 2017, the Council welcomed on board, CPA Danish Osondo. At the same time CPA Rose Mwaura and CPA Susan Oyatsi retained their seats in the ICPAK Council. This process confirmed our democratic heritage which is deeply ingrained in our professional ethos, practices and traditions.

I am greatly indebted to my Council members who continue to provide support and insights in a collegial environment full of trust and contentment. I am truly blessed to work with these finest and great souls. I derive my satisfaction through their acumens, intelligence and team work and fraternal spirit.

On the other hand, the Institute held a farewell dinner in honour of the immediate past CEO CPA DDR. Patrick Ngumi on Friday 15th September 2017. The event was attended by ICPAK Chairman, council members, ICPAK secretariat and DDR. Ngumi’s family. Dr. Ngumi left the Institute having served three years. We are grateful

to DDr. Ngumi for having served the Institute with devotion, professionalism and undivided attention. There are numerous feats that the Institute achieved during DDr Ngumi’s tenure.

At the same time, I would wish to congratulate CPA Edwin Makori following his confirmation as ICPAK’s

substantive Chief Executive Officer in October 2017. I am confident that CPA Makori will steer Institute’s ship towards the sea of possibilities and accomplishment. I urge members, staff and other stakeholders to support the Chief Executive Officer as he embarks on his monumental role at the Institute.

FCPA Julius Mwatu (centre) presents a token of appreciation to CPA Dr. Patrick Ngumi. He is flanked by council members and family

FCPA Julius Mwatu (Centre) presents a token of appreciation to immediate former Chairman FCPA Fernandes Barasa as

council members and Mrs Barasa look on

7


8

OTHER UPDATES

IFAC President to Visit Kenya; ICPAK To Host IAESB Meeting in 2018I am pleased to announce that Rachel Grimes, the International Federation of Accountants (IFAC) President will be visiting the Institute and Kenya on the 15th and 16th of January 2018. During her visit, Ms. Grimes will meet and discuss issues of mutual interest with ICPAK leadership and government officials.

At the same time, the Institute will be hosting the International Accounting Education Standards Board (IAESB) meeting in April 2018. Through its activities, the IAESB enhances education by developing

and implementing International Education Standards (IES), which increase the competence of the global accountancy profession—contributing to strengthened public trust.

The Institute is today the 3rd largest organisation under the Pan African Federation of Accountants (PAFA). ICPAK is represented in the PAFA Board by CEO and Chairman. In this regard, I am glad to note that PAFA Board is keen to facilitating growth of Accountancy in Africa. The Board plans to professionalize and enhance adoption of integrated reporting by the continent’s public-sector. This will go towards the realization of the Africa Union’s Agenda 2063.

A Night of ICPAK Knights:ICPAK Hall of FameIn accordance with Section S4 of the Accountants Act, No 15 of 2008 ICPAK the Institute awarded one fellowship and 12 commendations during our 4th edition of Chairman’s Ball held on 8th December 2017 at Safari Park Hotel. The event was graced by Dr. Patrick Njuguna, Governor Central Bank of Kenya, Auditor General FCPA Edward Ouko, ICPAK past chairmen among other invited guests.

International Federation of Accountants (IFAC) President, Ms. Grimes

A section of council members who attended the chairmans Ball

ICPAK Chairman’s Ball, Safari Park

Members who reveived commendation cut the commemorate cake


9

CPA DR. Erick Rading Outa was conferred with the Institute’s fellowship. CPA DR Erick Rading Outa has been a CFO and top corporate executive. He has been a Member of the Council between 2009 and 2010 and a member of the Institute’s AQA Committee. At the same time, the following 12 members received certificates of commendation:

Let us congratulate and honour these members for their indefatigable efforts and commitment which continue to inspire public confidence among the users of the accounting services.

Media relations

Effective media relations and engagements are essential to communicate ICPAK’s public brand and its vision to champion the Kenyan accountancy profession as a key facilitator and partner for business and the nation. Throughout

the period, ICPAK communicated its stance on key issues such as public policy, integrity, devolution, IFRS and accounting standards, audit quality and oversight, regulatory and legal reform, good corporate governance and ethics among accountants, to name a few priorities on ICPAK’s agenda. In supporting ICPAK to ensure clear and consistent messages are conceptualized and communicated, the Communications Department facilitated media engagement that resulted in coverage of ICPAK issues in leading broadcast and print media.

Conclusion

Finally, to all present here tonight, thank you for your continuous support, we are honored to have you in our midst to celebrate the Institute’s milestones. Let me also take this early opportunity to wish you a Merry Christmas and Happy holidays.

Thank you. FCPA Julius MwatuICPAK Chairman

CPA Anne Muraya

CPA Juma H.W Simwelo

CPA Mohamed Asif Chaudhry

CPA Michael Maithya Nzule

CPA Rosalind Rima Mureithi

CPA Reuben Kipngeno Korir

CPA Anne Wangeci

CPA Edna Gitachu

CPA Rose Wairimu Mwaura

CPA Nelson Lennox Jalango

CPA Patrick Abachi

CPA Omindi Nixon

3143

3627

4257

4646

6017

6129

7714

8539

9530

9392

9878

10420

Commendees pose for a group photo after the event

Patrick Njuguna, Governor Central Bank gives his remarks during the Chairman’s Ball


10

In theNews


11


12

In theNews


1313


14

In theNews


15


16

In theNews


17

We would love to hear from you, please send

your thoughts, comments or even articles that you

would like included in the newsletter to

[email protected]

O C T O B E R - D E C E M B E R 2 0 1 7NewsletterCHAIRMAN’S

chairman’s - icpak · all the members, stakeholders, ... in kenya and around the world, who...

Documents