Accountant shortage looms for Namibia

“THE accounting profession in Namibia faces serious challenges.

Research has shown that there is a lack of qualified accountants in the country. There are approximately 300 000 taxpayers in the country with only 280 accountants and auditors to service them.With continuous updating of financial data from the financial institutions, it is unlikely that any accountant can service more than 1 000 taxpayers efficiently.”This was said by the president of the Institute of Commercial and Financial Accountants of Namibia (CFA), Essie Herbst, when she spoke late last year at a cocktail event in Windhoek aimed at introducing the institute.”Another challenge faced by the industry is the serious lack of qualified teachers in the fields of accountancy.Educational institutions have indicated that they are only able to produce a maximum of five accounting teachers per year due to the lack of adequate bursaries from the Government.”The lack of exposure in the field of accounting at school level has a snowball effect as pupils are not introduced to the field of accountancy.Students are therefore not motivated to further a career in an unknown field.”This may cause the industry to have very few qualified accountants in ten years.The teachers that qualify annually are also grabbed up by the commerce industry to fill financial positions.It is commonly known that salaries of teachers are not competitive in the market,” she continued.The Institute of Commercial and Financial Accountants of Namibia was founded in 2005 after 11 successful years as a branch of the regional organisation SAIPA.Last year the institute established its own office in Windhoek.It provides a home for professional accountants including accountants in business, private practice and in Government as well as academics.According to Herbst, the institute continually strives to build on and maintain a high degree of integrity, ethical values and professionalism among its members.CFA is dedicated to the continuous upliftment of standards and furthering the knowledge and skills of its members and trainees through a recognised CPD programme, she said.During 2007 the wheels were put into motion for members of the institute to gain accreditation from ECSAFA and progress to international recognition.CFA is supported by ICAN and SAIPA as well as local entity Corporate Guarantee.”Private and public sectors should challenge themselves to increase the number of accounting teachers in the country.They must boost the current level of resources allocated to students that wish to further a career in accounting by increasing the number of bursaries and create awareness of the importance of the profession.”A combined effort of the public and private sector will relieve the problem in the short term.It will also address a possible serious situation where financial institutions and the Government will experience difficulty in their normal course of business due to the lack of competent and experienced financial staff,” Herbst said.The institute itself facilitates several approved training centres around the country.These training centres allow potential registered accountants to comply with two components of their training – the academic component, at least a degree in accounting, and the practical experience component, which consists of a minimum of three to five years.The training is stipulated by following a logbook system and six strenuous exams that are taken throughout the training, Herbst said.This system of transferring knowledge is estimated to cost each trainee approximately N$500 000 over four years, of which the bulk is spent in the first two years.Currently the institute has 61 trainee accountants at training centres such as A&I Services, A.Kesslau, BDO Spencer, CR van Wyk and Co., Dreyer and Associates, Essie and Associates, FCS, Fourie Rekenmeesters, Jandre Consultants, JP Financial Services, Malerbe Bookkeeping and Namdeb at Oranjemund.Last year eight trainee accountants graduated and obtained membership of the CFA.These were Anja Blume, Helga Du Plessis, Stephan Fourie, Chrismarie Jacobsz, Maritz Jansen van Vuuren, Katja Lohman, Gerhard Snyders and Rudolph Van Wyk, Karen Swart and Gerhard van Staden.There are approximately 300 000 taxpayers in the country with only 280 accountants and auditors to service them.With continuous updating of financial data from the financial institutions, it is unlikely that any accountant can service more than 1 000 taxpayers efficiently.”This was said by the president of the Institute of Commercial and Financial Accountants of Namibia (CFA), Essie Herbst, when she spoke late last year at a cocktail event in Windhoek aimed at introducing the institute.”Another challenge faced by the industry is the serious lack of qualified teachers in the fields of accountancy.Educational institutions have indicated that they are only able to produce a maximum of five accounting teachers per year due to the lack of adequate bursaries from the Government.”The lack of exposure in the field of accounting at school level has a snowball effect as pupils are not introduced to the field of accountancy.Students are therefore not motivated to further a career in an unknown field.”This may cause the industry to have very few qualified accountants in ten years.The teachers that qualify annually are also grabbed up by the commerce industry to fill financial positions.It is commonly known that salaries of teachers are not competitive in the market,” she continued.The Institute of Commercial and Financial Accountants of Namibia was founded in 2005 after 11 successful years as a branch of the regional organisation SAIPA.Last year the institute established its own office in Windhoek.It provides a home for professional accountants including accountants in business, private practice and in Government as well as academics.According to Herbst, the institute continually strives to build on and maintain a high degree of integrity, ethical values and professionalism among its members.CFA is dedicated to the continuous upliftment of standards and furthering the knowledge and skills of its members and trainees through a recognised CPD programme, she said.During 2007 the wheels were put into motion for members of the institute to gain accreditation from ECSAFA and progress to international recognition.CFA is supported by ICAN and SAIPA as well as local entity Corporate Guarantee.”Private and public sectors should challenge themselves to increase the number of accounting teachers in the country.They must boost the current level of resources allocated to students that wish to further a career in accounting by increasing the number of bursaries and create awareness of the importance of the profession.”A combined effort of the public and private sector will relieve the problem in the short term.It will also address a possible serious situation where financial institutions and the Government will experience difficulty in their normal course of business due to the lack of competent and experienced financial staff,” Herbst said.The institute itself facilitates several approved training centres around the country.These training centres allow potential registered accountants to comply with two components of their training – the academic component, at least a degree in accounting, and the practical experience component, which consists of a minimum of three to five years.The training is stipulated by following a logbook system and six strenuous exams that are taken throughout the training, Herbst said.This system of transferring knowledge is estimated to cost each trainee approximately N$500 000 over four years, of which the bulk is spent in the first two years.Currently the institute has 61 trainee accountants at training centres such as A&I Services, A.Kesslau, BDO Spencer, CR van Wyk and Co., Dreyer and Associates, Essie and Associates, FCS, Fourie Rekenmeesters, Jandre Consultants, JP Financial Services, Malerbe Bookkeeping and Namdeb at Oranjemund.Last year eight trainee accountants graduated and obtained membership of the CFA.These were Anja Blume, Helga Du Plessis, Stephan Fourie, Chrismarie Jacobsz, Maritz Jansen van Vuuren, Katja Lohman, Gerhard Snyders and Rudolph Van Wyk, Karen Swart and Gerhard van Staden.

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