FiRe Awards Promoters Push for Enhanced Accountability, Transparency in Resource Use
Nairobi, 27 August 2024… The promoters of the Financial Reporting (FiRe) Award have today launched the FiRe Award 2024 edition in a move aimed at pushing for integrated financial reporting across the private and public sectors in the country, thus enhancing accountability and transparency in resource management.
This year’s Award’s theme is “championing for effective sustainability reporting through technology and innovation to enhance transparency,” which underscores the growing importance of business sustainability disclosures as a reporting mandate for private companies and public sector entities.
The FiRe Award is organised by the Institute of Certified Public Accountants of Kenya (ICPAK), the Public Sector Accounting Standards Board (PSASB), the Nairobi Securities Exchange (NSE), Capital Markets Authority (CMA), and the Retirement Benefits Authority (RBA).
During the Award ceremony that takes place usually in December, private and public sector entities are expected to provide comprehensive information on their environmental, social, and governance (ESG) practices, reflecting their commitment to sustainable development, as part of their disclosure of non-financial information.
Speaking during the launch of the 23rd edition of the FiRe Award, the Chairperson of the Award Executive Committee, who is also the ICPAK CEO, CPA Dr. Grace Kamau, pointed out the critical role that sustainability reporting plays in advancing sustainable development goals and promoting corporate responsibility.
She said that by adopting International Financial Reporting Standards (IFRS), especially IFRS S1 and S2, ICPAK aims to provide guidance and frameworks that allow enterprises to effectively monitor, manage, and disclose their sustainability impacts and climate risks and opportunities.
“Soon, we will release a communique to guide the market on the envisioned phases of adoption, assurance of sustainability reports, and disclosure of sustainability information while continuing to create awareness through curated workshops and roundtable events to ensure a just transition.”, said Dr. Kamau.
The NSE Chief Executive, Mr. Frank Mwiti, noted that NSE has placed special focus in supporting and enabling companies in Kenya to report on sustainability to better manage risks and attract more investments in particular companies.
“We strongly believe that private companies will be better placed to address growing stakeholder demands for transparency on how businesses manage their impacts to the environment, economy and people.”
The PSASB Acting CEO, Ms. Georgina Muchai, encouraged the public sector entities to increase the uptake of ESG reporting noting that “ESG is a growing concern for government regulators, investors, and standards bodies. With ESG, public sector entities now have a great opportunity to prepare for new regulations around sustainability reporting and commit to transparency and accountability. This means setting out to gather information to inform entities’ strategies, manage risks and achieve a stronger, more sustainable performance over the long term.”
Present during the event was the RBA CEO, Mr. Charles Machira, who underscored the importance of adopting ESG principles in financial reporting by Retirement Benefits Schemes.
“In the pension industry, stakeholders are demanding for disclosures on sustainability strategies. As a way of promoting governance and enhancing confidence in the pension sector, I look forward to enhanced disclosures on the impact, opportunities and risks that have arisen with adoption of ESG Principles,” said Mr. Machira.
Equally, the CMA CEO, Mr. Wyckliffe Shamiah, said that business sustainability and climate-related disclosures are becoming a key consideration for publicly listed companies. This comes on the back of the publication of standards for Sustainability-related Financial Information (IFRS S1) and Climate-related Disclosures (IFRS S2) by the International Sustainability Standards Board (ISSB) 12 months ago.
“The finalization of the standards by ISSB marks an important step in the development of a global baseline for sustainability disclosures to support transparency and comparability in the capital markets. The Standards are expected to enhance trust and confidence in company disclosures about sustainability’’.
ABOUT THE FIRE AWARD
The Financial Reporting (FiRe) Award is the most prestigious and coveted Award in East Africa for financial reporting. The Award is carried out annually, in a colourful, gala evening hosted by the joint promoters. The FiRe Award has been recognized and awarded the best reporting entities in East Africa. The Award aims to promote integrated reporting by enhancing accountability, transparency, and integrity in compliance with appropriate financial reporting framework and other disclosures on governance, social and environmental reporting by private, public and other entities domiciled in East Africa. Visit the website: http://www.fireaward.org for more information.
ABOUT THE PROMOTERS
INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS OF KENYA:
The Institute of Certified Public Accountants of Kenya (ICPAK) is a statutory body that regulates the profession of accountancy in Kenya. The Institute of Certified Public Accountants of Kenya (ICPAK) is a statutory body of accountants established under by the Accountants Act of 1978, and as repealed under the Accountants Act Number 15 of 2008, mandated to develop and regulate the Accountancy Profession in Kenya. It is also a member of the International Federation of Accountants (IFAC), the global umbrella body for the accountancy profession. For more information, please contact: Mercelline Maroma, Head of PR and Corporate Communications on Email: mercelline.maroma@icpak.com
PUBLIC SECTOR ACCOUNTING STANDARDS BOARD:
The Public Sector Accounting Standards Board (PSASB) was established under sections 192 to 195 of the Public Finance Management (PFM) Act 2012. The Board is mandated to provide frameworks and set generally accepted accounting standards for the development and management of accounting and financial systems and internal audit procedures by state organs and public entities as spelt out under Section 194 of the PFM Act.
For more information, please contact: Benuel Bosire, Head of Public Relations and Communications on Email: benuel.bosire@psasb.go.ke
NAIROBI SECURITIES EXCHANGE:
The Nairobi Securities Exchange (NSE) is the principal securities exchange of Kenya. Besides equity securities, the NSE offers a platform for the issuance and trading of debt securities. The NSE is a member of the African Securities Exchanges Association (ASEA) and the East African Securities Exchanges Association (EASEA). It is an affiliate member of the World Federation of Exchanges (WFE), an associate member of the Association of Futures Markets (AFM) and a partner Exchange in the United Nations Sustainable Stock Exchanges Initiative (SSE).
For more information, please contact: Boniface Mbogo, Senior Officer, Communications on Email: bmbogo@nse.co.ke
CAPITAL MARKETS AUTHORITY:
The Capital Markets Authority (CMA) was set up in 1989 as a statutory agency under the Capital Markets Act Cap 485A. It is charged with the prime responsibility of both regulating and developing an orderly, fair, and efficient capital markets in Kenya with the view to promoting market integrity and investor confidence.
CMA also regulates the commodity markets and online forex trading. The regulatory functions of the Authority as provided by the Act and the regulations include licensing and supervising all the capital market intermediaries; ensuring compliance with the legal and regulatory framework by all market participants; regulating public offers of securities such as equities and bonds and the issuance of other capital market products such as collective investment schemes; promoting market development through research on new products and services; reviewing the legal framework to respond to market dynamics; promoting investor education and public awareness; and protecting investors’ interest.
For more information, please contact: Antony Mwangi, Manager Corporate Affairs & International Relations on amwangi@cma.or.ke
RETIREMENT BENEFITS AUTHORITY:
The Retirement Benefits Authority (RBA) was established under the Retirement Benefits Act and is mandated to regulate and supervise the establishment and management of retirement benefits schemes; protect the interests of members and sponsors of retirement benefits sector; promote the development of the retirement benefits sector; advise the Cabinet Secretary, National Treasury and Economic Planning on the national policy to be followed with regard to retirement benefits industry and implement all government policies relating to the retirement benefits industry.
For more information, please contact: James Ratemo, Head of Corporate Communications on Email: jratemo@rba.go.ke
