CHARTERED ACCOUNTANTS AND THEIR IMPACT ON ECONOMY

There is a saying from a well-known businessman that for business operations I need MBA`s but for teaching those MBA`s the way to manage business, I need Chartered accountants. This shows that CA`s provide guidance for efficient business operations. They have the expertise to deal with company matters, legal matters, taxation matters, assist to prepare and maintain accounting records & other documents in accordance with accounting standards. This is the aeon of globalization. Government and business entities are joining hands with the multinational companies. Business entities are becoming global and are thus required to ensure compliance with international laws. One of the main concerns of such companies is to manage foreign exchange and complying with legalities of countries they operate in. when a company becomes international it also need to manage currency inflows & outflows for its foreign operations. All these matters are dealt better by CA`s. They are experts in laws and better guide entities in matters mentioned herein.

INVESTMENT SECTOR

Regulation of foreign currencies is another concern of business where there are things like forwards, futures, swaps etc. These hedging options can be understood and managed by professionals like CA`s only. They thus help for regulating inflow & outflow of such currencies within country. There is a charm for entities to grab more and more investment opportunities. Rational investors want their money to be invested in stocks & portfolios having maximum return potential. However such investors and businesses are required to comply with concerned legalities to protect investors` interest and to manage economy`s growth. CA`s are playing an amazing role for such interests of investors & businesses.

OTHER CRUCIAL ROLES A CA PLAYS

  1. Another sector growing faster is the e-commerce sector. This sector also needs assistance of chartered accountants for management guidance and handling of taxation matters.
  2. Among other areas of importance where CA`s work include following;
  • Preventing corruption
  • Window dressing
  • Detecting frauds
  • Malfunctioning
  1. Corruption is the main hurdle in prosperity of Pakistan. CA`s help in minimizing corruption by implementing rules & regulation. They are good at creating awareness about consequences of wrong practices.
  2. CA`s are required to work as auditor for expressing their opinion on the status of the financial statements. Auditors search wrong practices of staff & management and express their opinions about it. Opinion of auditors increase the reliance of investors upon company.
  3. CA`s are also important part of growth of economy. They have their own ways for solving financial problems due to their knowledge & expertise. They have better understanding of
  • Stock market
  • Finance
  • Taxation
  • FOREX
  • Company laws, etc.
  1. They help in building a nation as they guide business entities in managing their operations efficiently. They help government in framing required laws and also assist in implementing these.

Being the crucial part of an economy, CA`s can help a nation get the best out of its resources. CA`s are highly appreciated and welcomed in sectors especially relating to economy.