Choosing the right candidates for the accounting profession to promote its development

As the accounting profession is the “infrastructure” of the market economy and the lingua franca of the global business community, its development is crucial to the future of Hong Kong as an international financial centre.  Our accountancy sector, with world-class professional and regulatory standards, is a major force supporting high-quality development of such areas as finance, technology and logistics in Hong Kong and the Greater Bay Area (GBA).

The new regulatory regime of Hong Kong’s accounting profession came into smooth operation in October 2022 and has since fully rationalised the regulation and development functions in relation to the profession.  The Accounting and Financial Reporting Council (AFRC) now carries out independent regulation of the standards of the accounting profession while the Hong Kong Institute of Certified Public Accountants (HKICPA) focuses on enhancing the professional standards and promoting the healthy development of the industry.

Under the new regulatory regime, the HKICPA continues to play an active role in enhancing the standards of the accounting industry and promote the industry’s development through its work on various fronts, including certified public accountant (CPA) registration, training and examinations, as well as setting requirements for continuous professional development, standards on professional ethics, and on accounting, auditing and assurance.  In addition, we are pleased to learn that the HKICPA and related organisations have co-organised the Guangdong-Hong Kong-Macao Young High-end Certified Public Accountants Talent Training Programme, promoting positive interaction and exchange among the accounting professions in the GBA cities.

Looking ahead, the Chief Executive has just announced in the 2023 Policy Address a number of initiatives to consolidate and leverage Hong Kong’s strengths in financial services and deepen financial co-operation within the GBA.  These measures will stimulate demand for professional services, allowing CPAs to explore the enormous development potential not only in the traditional areas of accounting, auditing and assurance, but also in areas such as compliance, consulting, risk management, and emerging fields including green finance and fintech.

The development of the accountancy sector is dependent on the all-out efforts undertaken by a visionary, ambitious and committed professional council.  In July 2022, the Legislative Council passed the amendments to the Professional Accountants Ordinance (Cap. 50) to enhance the corporate governance of the HKICPA by amending the election mechanism of its Council.  The new arrangements include requiring candidates for the election to obtain nominations from 10 CPAs and two appointed members of the Advisory Committee of the AFRC, as well as aligning the election cycle for all 14 elected Council members to a biennial basis.  These enhancement measures will enable the HKICPA to give full play to its professional role under the new regulatory regime.

The first HKICPA Council election under the new mechanism is just around the corner, with voting closing on 4 December.  We eagerly hope that all friends from the accounting profession will actively participate in the election and choose candidates of the right calibre.  Building on the remarkable achievements of the HKICPA, the incoming council will surely continue to work alongside every member of the profession, forging ahead to embrace many more opportunities.

In December, another significant election—the District Council election—is taking place, a matter that concerns the welfare of the general public.   This is the first citywide local election in Hong Kong since the restructuring of the District Council and the improvement of the local governance system, and it carries symbolic significance.  The new term of the District Council will return to the original intention and position of the "district organisations which are not organs of political power" stipulated in the Basic Law, focusing on improving people's livelihood, providing regional advisory services to the government, and seeking happiness for the citizens.  I take this opportunity to call on everyone to vote with me on December 10th, elect your favourite representatives, and work together to build our community.

18 November 2023