Times Of Swaziland: ESIA AUDIT REVIEWS TO BOOST FINANCIAL TRUST

ESIA AUDIT REVIEWS TO BOOST FINANCIAL TRUST
================================================================================
Nhlanganiso Mkhonta on 29/01/2025 08:04:00


MBABANE – The Eswatini Institute of Accountants (ESIA) is set to undertake a
crucial exercise aimed at bolstering public confidence in financial reporting.
This will be through rigorous Audit Practice Reviews of all registered audit
firms in the country. The reviews, which begin on February 2, 2025, will
evaluate the extent to which audit firms comply with professional, ethical and
regulatory standards, in line with the Accountants Act of 1985.The initiative
comes as part of ESIA’s commitment to upholding the integrity and credibility
of Eswatini’s accounting and auditing profession. The reviews will be
conducted by the Zambia Institute of Chartered Accountants (ZICA), a regional
body with an established track record in audit regulation and quality assurance.
Requirement
This marks the second time ZICA will lead this initiative in Eswatini, further
solidifying its partnership with ESIA. Speaking on the significance of the
reviews, ESIA Executive Director Dr Ndiphethe Mabila said, “The upcoming Audit
Practice Reviews are not just a regulatory requirement, but a step toward
building a profession that is trusted and respected. We are confident that this
process will add significant value to audit firms and reinforce confidence in
the financial reporting landscape of Eswatini.” The 20-day review process will
scrutinise audit firms’ internal systems, governance structures, individual
audit engagements and compliance with the International Standard on Quality
Management.
The aim is to identify strengths while addressing any gaps, to ensure that
Eswatini’s auditing practices meet global benchmarks.“Auditing is the
lifeblood of the accounting profession and these reviews are essential in
maintaining the integrity of the profession,” said ESIA. By strengthening the
quality of audits, the exercise seeks to promote accountability and transparency
within the financial sector, ensuring the public and business community can
trust the financial reporting system.
Standards
ESIA has urged all registered audit firms to fully participate in the process,
describing it as an invaluable opportunity for professional growth and
improvement.
The reviews, according to ESIA, will ensure that every firm is assessed against
the same rigorous standards, thus enhancing the overall credibility of the
profession.
Through this initiative, ESIA reaffirms its responsibility as the statutory
regulator of the accounting and auditing profession in Eswatini, demonstrating
its unwavering commitment to excellence and professionalism. “This exercise is
not only about compliance, but also about ensuring that the accounting and
auditing professions operate at the highest level of integrity and
transparency,” added Dr Mabila.
As the exercise gets underway, all eyes will be on its outcomes, which are
expected to set the tone for the future of financial accountability and trust in
Eswatini. It is worth noting that ESIA has recently recorded a significant
increase in its members growing from 579 to 613 members, across various
categories. The increase in the organisation’s members was one of the key
highlights of the ESIA’s 37th annual general meeting (AGM) held towards the
end of 2024.The financial health of ESIA was a focal point of the meeting, with
the presentation of the audited financial statements for the year ending on
March 31, 2024.
The chairperson proudly announced a surplus, a testament to prudent financial
management and the institute’s commitment to sustainability. In a move to
align membership subscriptions with inflation, a modest 4 per cent increase was
proposed for 2025–2026, marking the first adjustment since 2020. Additionally,
two new membership categories were introduced for retired professionals: Retired
Chartered Accountants and Retired Registered Accountants. This initiative
acknowledges the contributions of senior members, while offering them a
cost-effective way to stay connected to the profession.  The AGM also offered a
glimpse into the future. Members were updated on the revamp of the ESIA website,
which promises to set a new standard in convenience and accessibility. Once
complete, the platform will enable members to track their Continuing
Professional Development (CPD), apply for membership online and access short
courses.
Partnerships
This digital transformation aims to align ESIA with global standards and enhance
the member experience.  In an inspiring display of regional collaboration,
Chairperson, Makhosazana Mhlanga announced the signing of Memoranda of
Understanding (MoUs) with accounting bodies in Zambia and Malawi, with plans to
expand such partnerships further. These MoUs pave the way for knowledge sharing
and the harmonization of standards within the Southern African Development
Community (SADC) Region.