Accounting profession linked to economic development

Accountants can make a significant contribution to the economy at the local, national and global levels, according to a new report from the International Federation of Accountants.

For the report, IFAC teamed up with the Center for Economics and Business Research (Cebr), an economic consulting firm. In each measure reviewed, the research found a greater number of accountants correlates to better economic performance. In addition, accountants who are members of IFAC member professional accountancy organizations correlate to even stronger performance on economic indicators.

“At IFAC, we have always understood the strong connection between a well-developed accountancy profession and economic development,” said IFAC CEO Kevin Dancey in a statement Monday. “This research will help policymakers around the world have better informed conversations with professional accountants and PAOs about their contributions to society and potential partnerships for development and growth.”

Cebr’s analysis looked at the accounting profession in the G20 countries, including each individual country of the European Union. It compiled data from a variety of sources, including the World Bank, the World Economic Forum, and the Organization for Economic Cooperation and Development, to assess the relationships between economic variables and numbers of accountants and PAO members.

This research follows up on previous projects from IFAC on the positive contributions of the accounting profession:

• Nexus 1: The Accountancy Profession, Behind the Numbers
• Nexus 2: The Accountancy Profession—A Global Value Add
• The Accountancy Profession—Playing a Positive Role in Tackling Corruption

Courtesy of IFAC