The Forum addressed the G20 Resolutions and their financial, economic and accounting implications

 

Beirut  5 January 2010 - The Arab Financial and Accounting Forum which was called for by the Arab Society of Certified Accountants and Talal Abu-Ghazaleh Organization recently concluded its events in Beirut. The Arab Financial and Accounting Forum concluded in Beirut

 

The Forum was opened on 22 December 2009 under the auspices of His Excellency General Michael Sleiman, President of the Republic of Lebanon, represented by Her Excellency Rayya El Haffar Hassan, Minister of Finance, in the presence of MP Michael Moussa, representative of HE Lebanese Parliament Speaker Nabih Berri and Minister Jean Augaspian representative of HE the Prime Minister, Mr. Saad Hariri, as well as a number of ministers, MPs, ambassadors, directors general and heads of economic bodies, trade unions and media.

Among those who addressed the opening session were Mr. Antoine Gholam, Head of Certified Accountants Association in Lebanon, Dr. Fouad Shaker, Secretary General of the Union of Arab Banks and Secretary General of the International Union of Arab Bankers, Mr. Alain Bifani, Director General of the Ministry of Finance, and Mr. Rafik Zantout, Chairman of CONFEX International, which organized the Forum. The Arab Financial and Accounting Forum concluded in Beirut

Mr. Talal Abu-Ghazaleh, Chairman of Talal Abu-Ghazaleh Organization, and Chairman of the Arab Society of Certified Accountants delivered the opening speech in which he stressed that convening the conference in Lebanon, the country which has proven its ability to effectively contain the crisis, was an expression of appreciation to the regulatory authorities and national institutions of Lebanon.

He addressed the financial crisis noting that it has been dealt with in some countries by pumping money through the banking system which transferred the crisis to the governments. This crisis has financial, monetary and economic effects; and has developed into a social and human crisis. Abu-Ghazaleh stressed the need to change the US and global financial systems and to implement the G20 Resolutions which called on the international accounting community to develop international standards and report to the G20.

The Forum adopted the following recommendations proposed by Mr. Abu-Ghazaleh:

1- To take preventive financial and accounting measures in order to protect our national institutions and safeguard the economic and social security of the Arab world since the financial crisis turned into a monetary crisis, then to an economic crisis, and is expected to be with us throughout the coming decade.

2- ASCA is to develop eleven accounting programs for testing purposes in all financial and business companies so as to achieve a clear vision of what preemptive measures need to be taken in consistence with the international standards and the G20 Resolutions, because one of the causes of the crisis was inadequate international accounting standards which the G20 demanded that they should be fundamentally and thoroughly developed, and that reports thereon shall be submitted to its next G20 Summit. The programs are:

1. Testing governance 

2. Testing stress 

3. Testing valuation 

4. Testing reserves 

5. Testing cash flow

6 - Testing Securities

7. Testing investments

8. Testing derivatives

9. Testing transparency

10. Forensic accounting

11. Classification and measurement of financial assets

 

3- A call for the development of a proposed program for the stress ability of government bodies so that they can continue and develop their performance of their duties towards their citizens.

4- Abu-Ghazaleh noted that the experience of the Islamic banking system has proven its ability to withstand and face the crisis. He pointed out that the Arab Society of Certified Accountants, in conjunction with Talal Abu-Ghazaleh Organization and the British Chartered Institute of Management Accountants, has developed a professional program to enhance the capacity of practitioners in the area of Islamic finance.

 

The participants in the Forum also recommended at the conclusion of its meetings that Confex International should organize the Forum on annual basis in order to follow-up on the G20 Resolutions and deal with them in view of their importance to the Arab economic security.