• Friday, March 29, 2024
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‘Leveraging technology in accounting practice will spur economic growth’

Onome Joy Adewuyi

The Accounting practice in Nigeria is increasingly gaining traction, driven largely by reforms and growing technology. Onome Joy Adewuyi, 56th president of the Institute of Chartered Accountants of Nigeria (ICAN) in this interview with KELECHI EWUZIE, speaks on the impact of the Covid-19 pandemic on the economy. Adewuyi, who has over three decades of experience in banking and financial management, also shares her plans in this presidential year. Excerpts:

You were inducted recently as the 56th president of the Institute of Chartered Accountants of Nigeria, which to us, is a no mean feat. What are the programmes you hope to put in place to create more opportunities for members of the institute?

Since I took over the reins of leadership of this great Institute, the Council under my leadership has commenced the implementation of strategies designed to achieve the theme of the 2020/2021 Presidential year titled: Repositioning ICAN for Greater Visibility.

Indeed, to accelerate the process, the Governing Council has approved the composition of its 30 Standing Committees and defined their respective terms of reference with emphasis on their strategic focus. With their approved terms of reference, the Council has raised the performance metrics for these committees to ensure that ICAN remains a truly global professional body.

Notwithstanding the challenges imposed on individuals and corporate entities by the COVID-19pandemic, we are determined as a body to press forward with the task of producing future-ready professional accountants. Pursuant to this, we plan to review our training and examination syllabi to capture emerging business dynamics.

Given the imperative of the social distancing protocol, our examination model will tend towards Computer-Based Testing without compromising its established standard and integrity. Also, the Council will intensify capacity building for our members, especially those in Small and Medium Practices, through webinar trainings, in order to further equip them with skills to address practice challenges occasioned by Corona Virus and the inevitability of the new normal of remote working.

On the economy, we will partner with the government to evolve strategies that will make the environment business-friendly, encourage investment that will drive business growth and national prosperity.

In your inaugural speech, you talked about plans to establish the first full online university in Nigeria, if not Africa? Where are we on the plan?

As you know, the advancement in technology has redefined the way we work and learn. The disruptive impact of technology on the profession calls for urgent action and we are determined to take up the gauntlet for the benefit of our members.

From the unfolding development globally, educational institutions of the future will no longer be in brick and mortar but in space or in cloud. We are desirous of leveraging technology to enhance our offerings as one of the foremost accountancy body in Africa.

To actualise the vision, the Council has set-up Adhoc Committee, comprising renowned academics, to advise it on the most cost-effective and efficient way to progress with the initiative.

The Committee held its inaugural meeting recently and their preliminary finding was that there exists a yawning gap in accounting and finance education in the country that the initiative will fill.

We therefore look forward to receiving the report of the Committee soon to enable the Institute kick-start the process in line with extant laws and regulations on the establishment of a university of its kind.

For you to come this far, you must have had some ups and downs in your professional journey. Was there any point in time when you felt like quitting? Any regrets being where you find yourself?

I was brought up to see challenges as opportunities to prove my mettle and demonstrate the spirit of resilience. Quitting has never crossed my mind even in the face of most difficult challenges. My implicit trust in God has always assured me that there are no problems without solutions. I am happy for how far God has helped me and there are no regrets whatsoever. The challenges of life have only strengthened my resolve to push further for success.

Since the inception of Presidential Years in ICAN, the Institute has seen several presidents come and go. What do you hope to do differently that would separate your tenure from others in terms of transformational agenda?

It is not so much about what I hope to do differently. Under the prevailing social and economic conditions, it should be more about building on the enviable past legacies of the founding fathers and Past Presidents of the Institute.

Leadership in ICAN, as in other progressive institutions, is a continuum. We would strive to improve our processes for excellent service delivery. Our main focus will be technology. Accordingly, the Institute would significantly improve on its budgetary allocation to technological infrastructure as a deliberate effort to deepen our services to stakeholders. The disruptive impact of technology on accounting practices makes this line of action inevitable.

Onome Joy Adewuyi, 56th president of the Institute of Chartered Accountants of Nigeria (ICAN)

The Nigerian economy has been greatly impacted by the Coronavirus pandemic. Is this, in any way, impacting operations of the Institute and what measures have been put in place to overcome these challenges?

The pandemic compelled us to cancel a few of our programmes like the March and July 2020 diets of the Professional Examinations. We specially feel the pains of our students who had prepared for the March Professional Examinations that were cancelled few days before commencement due to the lockdown.

We are exploring the possibility of transiting to Computer Based Testing (CBT) for our examinations as an alternative to the traditional paper-based testing. It would also interest you to note that, as part of the measures to reduce the negative impact of the pandemic on the Institute’s activities, we are deploying technology to ensure continuity in the affairs of the Institute by adopting full online channels for our activities such as students’ registration, Fellowship conferment, Professional and Accounting Technician Scheme (ATS) inductions, merit awards, amongst others.

The activities of the various committees of the Institute are also running unhindered as members of these committees continue to hold their meetings through our virtual platforms.

Increasingly, technology is narrowing the space for professional practice in accounting with its disruptive impact. How true is this? How prepared are members of ICAN for this new normal going forward?

It is true that technology is leading to loss of jobs not only in the accounting profession but across professions. It is encouraging to note, however, that a number of other jobs are being created in all professions. For instance, we are equipping our members with the technological skills that would ensure their continued relevance not only in the country but across geographical boundaries.

This is one of the beauties of this age, especially for professionals who continue to hone their skills in the technology space. This is the awareness we are creating among our members through the various trainings on webinar.

We are collaborating with experts in the big accounting firms to build the capacity of our members in areas such as Robotic Process Automation (RPA), Artificial Intelligence (AI), Blockchain, smart contracts and advanced analytics.

These are technologies that are reshaping formerly established business models and replacing human intervention in repetitive tasks that can easily be automated. As professionals, we are taking the lead in these areas to enable us consistently add value to our diverse clientele.

How can corporate governance help to build strong institutions that can fight corruption?

Corporate Governance is a veritable instrument to ensure corporate objectives are achieved within the social, regulatory, political and economic environment. At the core of any Corporate Governance Code are the interests of stakeholders and how they are protected and managed. Best practice in corporate governance requires that persons charged with governance responsibilities must provide the right leadership and consistently act in the interest of stakeholders.

Last year, the Financial Reporting Council of Nigeria (FRCN) released the revised principles-based National Code of Corporate Governance to which entities are required to “comply and explain”. Without doubt, a robust Corporate Governance Code can be a tool to fight corruption and boardroom malpractices.

However, the point must be made that the strength and effectiveness of any Code lie in the integrity of the institutional framework for its implementation. Happily, the Financial Reporting Council of Nigeria (FRCN) and other regulators are well positioned and resourced to drive the process of compliance and sanction any infraction. I dare say that monitoring and enforcement are key. The absence of these will defeat the essence of the code.

When you look at economic indices like high unemployment rate, rise in food prices, among others. What advice do you have for the present Federal government to address these issues?

The economic challenges in the country can be addressed from two broad perspectives. First, at the macro-level, the imperative of diversifying the sources of foreign exchange earnings in the country can no longer be on the wish list.

Any economy that solely depends on one source of revenue will be prone to the negative impact arising from the vagaries in international markets. It is also important that the revenue base of the country be broadened by bringing non-traditional businesses into the tax net.

As an Institute, we are advocating that more deliberate attention should be paid to business activities that are initiated and consummated online. Federal Inland Revenue Services (FIRS) should develop more creative channels for generating income from these online activities in addition to the stamp duty. The revenue generated should be judiciously invested in building infrastructure that would provide the enabling environment for business activities.

The government must press forward with its responsibility of creating the enabling environment for businesses to continue to thrive. Secondly, economic activities at the micro-level should be given focused attention by government as this informal sector provides gainful employment to over 60% of the population and almost 70% of non-oil revenue generation in the economy. Assisting the informal sector to grow their businesses is an indirect way of tackling the rising unemployment and poverty levels in the country.