ADDIS ABABA-The establishment of an Accounting and Auditing Institute will significantly improve Ethiopia’s economic performance, the Accounting and Auditing Board of Ethiopia announced.
According to the Board, the establishment of the institute comes at a time of high demand, with a growing need for auditing experts.
Speaking to the Ethiopian Press Agency (EPA), the Board’s General Director Fikadu Agonafir said that the country currently has only about 550 certified accountants and auditors, a critically low figure unable to meet the existing demand.
“The institute will play a critical role in increasing the number of certified auditors so as to supporting the national economy,” he stated.
Fikadu also highlighted the importance of the institute in addressing the needs of investors entering Ethiopia’s capital market.
“Investors require comprehensive business information, and a higher number of professional auditors and accountants are essential, particularly as the capital market begins operation,” he said.
The anticipated entry of foreign banks into Ethiopia’s financial sector further indicates the need for professional accountants and auditors. “The shortage of professionals could result in significant financial losses for the country,” he warned.
The newly established institute aims to provide training for accountants and auditors aligned with international standards, while also incorporating national tax and trade laws into its curriculum.
Additionally, the institute plans to establish formal linkages with higher education institutions. Fikadu noted that auditors and accountants have historically sought certification from foreign institutions, suffering high costs. The new institute is expected to address this issue by offering affordable, locally-based certification programs.
A draft proclamation to guide the institute’s operations has been submitted to the House of Peoples’ Representatives. The amendment is expected to be finalized soon.“This is a critical step in enhancing the quality and accessibility of training for accountants and auditors in Ethiopia,” the General Director said.
BY YESUF ENDRIS
The Ethiopian Herald December 15/2014
