Speakers tell international conference on accountability and sustainability

BM Report:

Sustainability-related disclosure in the public sector should be of high quality and it should be effectively audited for ensuring usability in decision making and building public trust.

Experts came up with these observations on Thursday at an international conference on Accountability and Sustainability: Implementation Progress jointly organized by the Institute of Chartered Accountants of Bangladesh (ICAB), Dhaka Stock Exchange Ltd and Victoria University of Wellington

Shamsul Alam, Former Minister of State, Ministry of Planning, was the Chief Guest and. Khairuzzaman Mozumder, Secretary, Finance Division, Ministry of Finance, Professor Hafiz Hasan Babu, Chairman DSE were present as special guests at the conference. Yinka Moses, CA, CPA (Aust), Academic Programme Leader, Wellington School of Business and Government, Victoria University of Wellington, New Zealand presented the keynote paper at the conference, held at the ICAB Auditorium in the city, and presided over by the ICAB President Moniruzaman FCA.

The conference was told that in audit and assurance arrangements, the regulations to address sustainability concerns are IFRS Sustainability Disclosure Standards like IFRS S1: General Requirements for Disclosure of Sustainability-related Financial Information; and IFRS S2: Climate-related Disclosures. The empirical evidence on sustainability practices is directly linked to the reduction cost of capital, commitment on development.  The government of Bangladesh is committed to achieve SDGs by 2031, so, accountability and transparency in managing risks and investments are the sine quo none for the implementation of SDGs.

Shamsul Alam said, political accountability plays an important role in economic development. Bangladesh is well ahead of other countries in South Asia like India and Pakistan in achieving the SDGs and ranked 101st of 191 countries. 

“We need to continue the progress and upgrade the rank further and we should ensure accountability for sustainable development,” he said, pointing out that Chartered Accountants play an important role in ensuring accountability in the private sector. 

The Keynote speaker Yinka Moses said, sustainability reporting can be described as ‘The practice of an organization reporting on its impact on sustainable development’. It includes not only environmental considerations, but also the social and economic impacts of human activities. 

Accountability entails transparency in managing risks and investments including providing honest reckoning for both positive and adverse business activities, he said. “He said, there is a need for corporate leadership that delivers accountability-based accounting without impressionistic tendencies. Hence, good governance and transparent corporate behavior that will see companies present balanced reckoning of their activities to enable investors, stakeholders to make right decisions.”

ICAB President Md. Moniruzzaman FCA said, the accountancy profession is best positioned to lead sustainability reporting and assurance. Professionals working in financial accounting, reporting, internal and external audit can all apply their expertise to this agenda, he said.

Finance  Secretary, Dr. Md. Khairuzzaman said, many organizations are starting sustainability reporting journeys, there is an opportunity for finance, accountancy and audit professionals to demonstrate leadership and drive this agenda forward. “Their knowledge and experience of reporting processes, systems and controls, regulatory compliance, adherence to standards and, in the case of auditors, internal and external assurance, are vital in establishing and embedding sustainability reporting and assurance in the public sector. It’s time for finance and audit professionals to take the lead on the sustainability reporting and assurance agenda,” he added.

He said, accountability linked with SDGs enables managers to reflexively find shortfalls within their system(s) and intentionally improve them as a matter of priority, rather than celebrate marginal successes.

Presenting a video on how the government is taking initiatives to attain SDGs, Professor Dr. Hafiz Md. Hasan Babu said, sustainability reporting must be appropriate to the size and scope of the organization and comprehensive enough to reflect the needs of the wide range of stakeholders representing the public interest.

“The information provided through the sustainability reporting and assurance process should advance sustainable development,” he added.

In his address, the ICAB CEO Shubhashish Bose said that the goal of sustainability reporting and assurance would excel the progress towards sustainable development. Ultimately, the sustainability disclosures reporting must provide useful information that can form a basis for decision-making.