Govt calls on public,private institutions to invest in financialreport

06Dec 2021
Getrude Mbago
Dar es Salaam
The Guardian
Govt calls on public,private institutions to invest in financialreport

​​​​​​​THE government has called on public and private institutions to invest in producing quality financial reports so as to promote compliance and attract more potential investors in the country.

Financial manager at Tanzania Breweries Limited ,Fredy Kayanda (R) receives an award on behalf of the company from Accountant General, Leonard Mkude after the company emerged 1st winner in best presented financial statements awards for the year 2020 in the manufacturing category during NBAA awards event held in Dar es Salaam over the weekend. Photo: Guardian Correspondent

Speaking during the closing of a three-day accountants’ annual conference in Dar es Salaam during the weekend, Emmnuel Tutuba, Permanent Secretary, Ministry of Finance and Planning said that the quality of information and how it is presented is vital in allowing users to make well-informed decisions.

The event also went along with awards giving to best presented financial statements of the year 2020 which is organised by the National Board of Auditors and Accountants (NBAA).

In a speech read on behalf by the Accountant General, Leonard Mkude, the PS said the quality of the information and how it is presented is vital in allowing users to make well-informed decisions.

He urged accounting and auditing firms to conduct their activities faithfully and legally and avoid facilitating fraud by producing false financial statements, something which affects the health and stability of the country’s financial system.

“In order to promote compliance and attract investors for our country, we need financial statements that provide maximum insight into the financial conditions and risk positions of financial intermediaries. We need supervisory oversight that provides safeguards and incentives that support our objectives of prudent provision of credit and sustainable economic activity,” he said.

He hailed NBAA for conducting the “Best Presented Financial Statements Awards,” which at the end aimed at encouraging organisations to voluntarily comply with the financial reporting standards.

The PS noted that in many cases investors, taxpayers and other stakeholders rely on the information provided in financial reporting to make decisions that affect their future. If information provided is not accurate and timely, they may affect decisions and ultimately health and stability of our financial systems.

“I have been briefed that the best presented financial statements competition and award was launched more than ten years ago, in Tanzania. The award ceremony has today become a famous event  for many entities operating in the public and private sectors. It is important to know that this award is critical to many users of the financial statements,” he said.

Prof Sylvia Temu, chairperson of NBAA governing board said during the three days, participants the opportunity   to discuss important issues that are related to the accountancy profession and other general issues in line with the 4th industrial revolution.

She said the best presented financial statements awards were introduced to improve the presentation and contents of annual reports.

“Our objective is to encourage entities to go beyond the minimum reporting requirements, with a strong focus on integrated reporting in the future,” she said

According to her, annual reports are reviewed by a specially-convened panel of external; independent judges, various authorities and academic institutions.

NBAA executive director, CPA Pius Maneno, said the awards seek to promote integrated reporting through enhancing accountability, transparency and integrity in compliance with appropriate financial reporting framework.

“This is the best platform for promoting professionalism and excellence in the presentation of financial statements of companies,” he said.

He congratulated the winners and urged other participants to use the feedback given by the board for future development.