International Trade in Services.pdf - DSpace at Khazar University

280 International Trade in Services
Box 8.8: Investing in Education to Meet International Standards: The Case of
Zambia
A number of developing countries face an acute shortage of qualified accountants.
Harnessing the benefits of increased trade in accounting services requires an investment
in education to adjust the profession both quantitatively and qualitatively, that
is, to train more accountants and include the study of international standards in the
accounting curricula. The example of the Zambia Centre for Accounting Studies is
often referred to as a best practice.
The center was established in 1988 with support from the EU. The establishment
of the center enabled Zambia to introduce a national accounting qualification. The
related examinations are internationally recognized and are part of a joint examination
scheme with an accounting body in the United Kingdom. Students thus no
longer need to go to the United Kingdom for training. It is estimated that this has
saved Zambia over US$16 million in foreign exchange. Over 350 students attend
courses at the center. The success rate of students is high: the average pass rate of
65 percent compares with 35 percent worldwide. In 1988, before the center had
become operational, only four Zambians qualified as accountants. In 1994, the center
produced 24 qualified accountants. Qualified Zambians are replacing expatriates in
the workplace.
Source: http://www.zcas.ac.zm.
professional competence, due care, confidentiality and professional behavior. The
adherence of domestic accountants to the code increases international credibility
and tradability.
What Questions Should Stakeholders Bear in
Mind as They Advance Reforms
Tables 8.6–8.8 bring together a number of considerations that are pertinent to a
process of reform in accounting services. Table 8.6 provides a checklist of the
influences on accounting firms and services that may affect success, the institutions
that influence the accounting marketplace, and initiatives to enhance export
growth and development. Table 8.7 draws on box 8.3 and the related discussion
and provides a list of common restrictions to trade in accounting services and
their impact on professionals in the marketplace. This list of restrictions may be
useful to policy makers in assessing the impact of various restrictions and determining
how they can be refined so that they are nondiscriminatory and no more
trade restrictive than necessary. Table 8.8 provides a checklist that focuses on initiatives
to build trade capacity by enabling policy makers to enhance the value of
accounting professionals, help accounting firms improve access to clients, and
work to facilitate trade.