ACCA Bucharest conference
Nearly 300 accountants gathered in Bucharest on 9 September at a high-level conference organised by ACCA (the Association of Chartered Certified Accountants) to discuss the role of accounting in Romania's accession to the European Union.
ACCA is the world's largest and fastest-growing professional accounting body and has 1,500 students and 250 members in Romania. The conference, the first such event held by ACCA in Bucharest, was addressed by Maria Manolescu, Director of the Romanian Ministry of Public Finance, and a number of experts from the European Commission, accounting standard-setters and senior ACCA members.
The theme of the conference was Romania's adoption of International Financial Reporting Standards (IFRS) which from the start of 2005 have been obligatory for all European listed companies. The Commission insists that with aid to Romania set to rise sharply from its current annual 1 bn euros in the lead-up to accession in 2007/8, steps need to be put in place to ensure the money is used efficiently. More transparent accounting, as illustrated by IFRS is a crucial part of that process.
Mrs Manolescu told delegates that conforming with EC Directives on accounting was the key issue for the Romanian profession ahead of the move to IFRS, which would be no easy task. She said that the challenge was moving from the traditional fiscally-driven local rules, to IFRS. Professional accounting bodies like ACCA had a key role to play in making sure its young accountants were well-trained versed in IFRS.
Mrs Manolescu was followed by speakers from the International Accounting Standards Board – which sets IFRS standards – and the Commission's accounting expert advisory group, who discussed the latest developments in the IFRS process. Gilbert Gerald, for the IASB denied criticism that the Board was US-dominated, but insisted that all countries, even those such as the UK which had long histories of accounting, found moving to IFRS a real challenge and so Romania was not alone.
Later, Richard Martin, for ACCA, addressed the needs of unlisted companies in the IFRS era, pointing out that 98% of European companies are actually small, which should not be forgotten by standard-setters. ACCA members and delegates from Big Four firms finished the day discussing issues of particular interest to them.