By Ikeoye Oyetoro
The Nigerian Accounting Standards Board (NASB) said it is set to issue a new accounting standards forÂ Small and Medium Scale Enterprises (SMEs).
This was disclosed by the NASB Executive Secretary, Mr. Godson Nnadi, while delivering a lecture during a linkage/awareness Seminar organised byÂ theÂ NASB at the Nnamdi Azikiwe University, Awka.
According to him, this new policy is part of the organisationâ€™s effort to ensure that the Small and Medium Scale Entities (SMEs) also conform to specific accountingÂ standards as they also contribute tremendously to the development of the economy.
According to Nnadi, apart from SMEs, the other areas the NASB would release draft exposure standards are Conceptual Framework, Accounting for Intangible Assets and Accounting for Not-For-Profit Organisation stressing that this will enable Nigerians companies to meet with international standards.
He also disclosed that the linkage programme is a conscious effort on the part of the NASB to bridge the information gap that currently exists between the body and the universities.
Pledging the willingness of the university to partner NASB in its linkage programme, he said the contribution of the NASB is required to bridge the gap between theory and practice stressing that most students are not conversant with accounting standards and this linkage programme will broaden their knowledge in that respect.
Professor Francis Okafor while delivering a lecture during the two-day programme, advocated a five-yearÂ degree programme for accounting to enable the graduates acquire practical knowledge through industrial attachments.
He also called for increased funding of education in order to enable the universities attract and retain quality staff that can give quality education to the student. The Technical Director of the NASB, Mr Jim Obazee, in his own lecture declared that common accounting standard cut the cost of doing business as it makes comparison and interpretation of accounting statement easier.
â€œInternationally converged standards also help maintain the credibility of financial reporting to the public and increase the efficiency of auditing that information.
By providing mutually accepted financial information and thereby opening access to various capital markets, multinational enterprises can reap the benefits of greater visibility, greater liquidity, better share prices, lower costs of capital and better access to investorsâ€, he declared.
He, however, identified competing perspectives of different nations and the universal tendency to resist change as factors that may militate against the adoption of a uniform global set of accounting standards represented by the International Financial Reporting Standards (IFRS).
The NASB which is the body charged with setting accounting standards used in preparation of corporate financial reports has already issued 30 statements of accounting standards.