Regulatory updates

Proposed revisions to IES 2, 3 and 4 - Sustainability IFAC is responsible for maintaining and promoting the IESs¹⁵ The IESs improve the quality of professional accounting education worldwide by prescribing requirements for:
• Entry to professional accounting education programs;
• Initial Professional Development (“IPD”) of aspiring professional accountants; and
• Continuing development (“CPD”) of professional accountants and overseeing the revision process of standards. Aspiring professional accountants are required to achieve learning outcomes prescribed in IES 2, 3, and 4¹⁶ IES 2, Initial Professional Development – Technical Competence (2021); IES 3, Initial Professional Development – Professional Skills (2021); and IES 4, Initial Professional Development – Professional Values, Ethics, and Attitudes (2021) by the end of Initial Professional Development (IPD). The extant IESs did not sufficiently address the competence areas and learning outcomes needed in areas of sustainability for professional accountants to perform their roles in a competent manner. Thus IFAC issued, inter alia, the following key proposals to IES 2,3 and 4:

• Emphasizing working with experts and in multi-disciplinary teams;
• Introducing key sustainability reporting concepts, such as systems thinking, value chains and scenario analysis;
• Referencing relevant sustainability reporting and assurance standards; and
• Creating a new assurance competence area and learning outcomes.

Proposed revisions to IES 6: Professional Development – Assessment of Professional Competence

IES 6 prescribes the requirements for the assessment of the professional competence that aspiring professional accountants are required to demonstrate by the end of Initial Professional Development.

IFAC has proposed new principles of emphasizing integrity, equity, inclusion and authenticity that aim to help professional accountancy organisations, universities and training programs in evaluating the right candidate for the professional accountant role. The comment period ends on 24 July 2024

To access the text of proposed revisions, please click here