As Prepared for Delivery
Keynotes by Deputy Prime Minister KEAT CHHON
Minister of Ministry of Economy and Finance
On “Strengthening the Accounting and Auditing Profession and
Enhancing Accounting Education in Cambodia”
th Phnom Penh, 16 January 2009
1. It is my great pleasure for being here with you all today at the opening of
the seminar on “Strengthening the Accounting and Auditing
Profession and Enhancing Accounting Education in Cambodia”.
Particularly, I would like to warmly welcome Mrs. Sylvia BARRETH,
Compliance Body Member of IFAC; Mr. Nik HASYUDEEN, President of MIA;
Mr. Alex MALLEY, President of CPA Australia; and distinguished guest
2. First of all, I would like to congratulate KICPAA for its great success in
complying for the membership of IFAC. I consider it as a reward for those
years of effort and dedication the leadership of this institution and all its
members with the strong commitment and all kinds of support from the
National Accounting Council of Ministry of Economy and Finance. This
milestone clearly recognizes and defines a new achievement of the
financial sector development of the Royal Government of Cambodia and
the Ministry of Economy and Finance as a whole after many years of our
investment and full commitment to develop a modern Cambodian
accounting system based in the International Accounting and auditing
practices as our Prime Minister Samdech Akka Moha Sena Padei
Techo HUN SEN instructed us.
3. The original Financial Sector Blueprint of 2001-2010 and its updated version, the Financial Sector Development Strategy 2006-2015 called for the establishment and strengthening of the Cambodian accounting system and legislations based on International Accounting Standard and International Standards on Auditing. As a result, the law on Corporate Accounts, their Audit and Accounting Profession was passed in July 2002 and has been in effective in 2005; then a regulatory body and a professional body have been established.
4. Parallel to this effort, the Royal Government of Cambodia has equally invested a lot of efforts and resources to build the capacity of our human capital through continuously providing, with the support from the ADB a number of scholarships to the Cambodian public servants and students to enhance the profession in accounting and auditing meeting an international quality and standard.
5. The Royal Government strongly believes that the accounting reform process is of paramount importance for both the public and private sectors to effectively function and promote the economic growth and thus the development for Cambodia. Furthermore, our public finance will greatly benefit from this reform because a more efficient accounting system will promote better transparency and effectiveness for our tax administration and tax collection.
6. Our financial sector reform is not only beneficial to business entities but also to the entire financial system in Cambodia, which enables large businesses and SMEs to get access to different sources of capital finance because they can provide a better financial reporting information required by lenders. This would facilitate a better access to bank credit and other financial instruments from the financial market. The imminent introduction of a capital market in Cambodia in late 2009 would also call
for a better financial reporting mechanism in order to earn confidence and
trust of potential domestic and global investors.
7. We, the Royal Government of Cambodia, have successfully completed the
implementation of The Public Financial Management Reform
Program - Stage 1 with its objective of "building budget credibility"
and we are now moving forward the implementation of its stage 2 which
is to enhance financial accountability aiming at ensuring the efficiency
and effectiveness of public financial management through enhancing the
responsibilities of public officials at all levels on the use and management
of public resources.
8. Therefore, we strongly believe that the IFAC’s membership opens a new
chapter and paves the way for Cambodia with an endless opportunity to
work closely with IFAC to further develop Cambodian professional
accountants and auditors and hence to strengthen the accountancy
profession in Cambodia. The adoption of International Accounting
Standards and Auditing into Cambodian Accounting system and auditing is
a bridge between public financial management and private financial
management. The public financial management includes national public
finance and relationship and interactions between national public finance,
international public finance, national private finance, and international
private finance which respect to budget principles, financial accountability,
the match between budget and public policy, and accountability for
performance, as stated in the Royal Kram No. NS/RKM 0508/016, law on
Public Financial System, dated 13 May 2008.
9. On behalf of the Royal Government of Cambodia, I would like to
congratulate my colleague H.E Mr. Ngy Tayi, undersecretary of state of
MEF and President of NAC, Mr. KAK KEY, President of KICPAA, Mrs. Sylvia
BARRETT, IFAC Compliance Body Member, Mr. Alex MALLEY, President of
CPA Australia, and Mr. Nik HASYUDEEN, President of MIA, for the
collective efforts to make this event realizable.
10. I would like to thank all of you from both public and private sector for
being here today to share with us this important event.