Stanbic Bank Wins Gold Award in Financial Reporting, for the fifth time

Stanbic Bank Uganda Limited has consistently excelled in financial reporting for over 9 years since their inaugural participation in the Financial Reporting (FiRe) Awards in 2011.

At the 2019 FiRe Awards held on 7 November 2019 at the Kampala Serena Hotel, Stanbic Bank scooped the Gold Award, for the fifth time. The bank beat 103 organisations which submitted their 2018 annual reports for evaluation.

While presenting the Award, the Chairman of the FiRe Awards Committee, CPA Stephen Ineget commended Stanbic Bank for demonstrating a high level of adherence to the guiding principles of integrated reporting. He noted that the Stanbic Bank annual report had comprehensive explanation of how the bank creates value for its various stakeholders as well as the detailed explanations of the value that the organization has created for each stakeholder category in 2018.

The Gold Award is the highest honour in financial reporting, given to the organisation that has presented an all-round integrated annual report, with a clear commitment to high standards of financial and business reporting.

The theme for the 2019 FiRe Awards was Integrated Reporting: Redefining Organisational Success.

Integrated Reporting is a global reporting framework which aims to foster cohesion and efficiency among the various organisational systems, processes and resources as a way of improving the quality of information available to investors and other stakeholders.

CPA Ineget emphasized that there is a need to understand the story of the organisation beyond the numbers. “It is important to demonstrate how the people, systems speak together in order to create value for the stakeholders,” he said.

“The focus for 2019 was those companies that have put their holistic story in one report in a manner than can communicate to non-accountants such as investors, customers, suppliers, among other stakeholders,” CPA Ineget added.

The Chief Financial Officer of Stanbic Bank, CPA Samuel Mwogeza said that the bank has adopted a system where various departments contribute towards reporting and the process is continuous throughout the year.

“We work on the annual report as a team, building a discipline throughout the year, where we keep sight of the story so that integrated thinking and reporting starts at the onset of the year,” CPA Mwogeza said.

Stanbic Bank also won in 4 other categories: Banking Services, Best Listed Entity, Sustainability Reporting (organisation’s social and environmental impact as well as its employee and stakeholder relations), and Corporate Governance (discussion on organisation’s values, strategy, culture and management roles).

CPA Mwogeza noted that the Bank continuously participates in the FiRe Awards because the Awards are an affirmation of the relevance of transparency in financial reporting. He noted that the Awards give the bank an opportunity to learn from other organisations and the evaluation feedback given is useful to the bank, in terms of making the annual report more valuable to readers.

Uganda Development Bank (UDB) came in second, scooping the Silver Award. UDB has risen from the third position (Bronze) in 2018. The National Social Security Fund dropped to third position (Bronze), from first position (Gold) in 2018.

The FiRe Awards is organised by the Institute of Certified Public Accountants of Uganda (ICPAU) in partnership with the Capital Markets Authority (CMA), the Uganda Securities Exchange (USE) and the New Vision. The objective is to enhance the quality of financial and business reporting in Uganda by encouraging the implementation of international financial reporting standards as well as best practices in financial reporting. The Awards were introduced in 2011.

Mr. Keith Kalyegira, the Chief Executive Officer of CMA urged businesses to think in terms of long term patient capital because it does not come with the pressures associated with short term financing. He emphasized that good financial reporting is a pre-requisite for access to long term financing.

Mr. Kalyegira asserted that one of the biggest challenges facing businesses is ill preparedness to access long term financing because many businesses lack the appropriate disclosures and they do not practice the corporate governance principles required to attract investors.

“There is no security in equity investment,” he noted. “Investors have to rely on the transparency and good governance of the business, hence the need to practice good financial reporting,” Mr. Kalyegira added.

Participation in the FiRe Awards is by submission of annual reports for the year under review. The reports are evaluated by the FiRe Awards Committee of ICPAU, for compliance with standards of: financial reporting, sustainability reporting, corporate governance, and communication and presentation. Entries for 2019 were collected between June to September 2019, in the categories of: banking services, microfinance deposit taking institutions, other microfinance institutions, stock brokers, other financial services, insurance services, parastatals, government business entities & projects, public sector (others), consumer & industrial products, not-for-profit organizations, regulatory bodies & associations, retirement benefit services, education institutions, cooperative societies, and forex bureaux.

 

The highest number of entries was in the retirement benefit services category (21 entries) while the lowest was in the education institutions category (1 entry).

While speaking at the 2019 FiRe Awards, Owek. Charles Peter Mayiga, the Katikkiro of the Buganda Kingdom and Chief Guest at the ceremony implored Small and Medium Enterprises to embrace professionalism, especially pertaining to accounting.

“The biggest hindrance to the growth of SMEs is failure to have procedures that can tell you whether you are making a loss or a profit,” Owek. Mayiga noted. “You might know how to count money in your pocket but when URA comes knocking, it is absolutely necessary put to use the eminent professional here,” the Katikkiro added.

Owek. Mayiga further noted that misappropriation of funds has reached alarming levels in Uganda, with mismanagement being prevalent in both the public and private sectors. He implored ICPAU to contribute towards the reversal of the trend by continuously upholding the membership obligations of the International Federation of Accountants of which ICPAU is a member.

“We need to promote openness and a sense of common good, in all sectors, in order to realise sustainable development in our country,” Owek. Mayiga emphasied.

Other Achievements of Stanbic Bank in Accounting & Finance

In September 2019, the Stanbic bank Finance team won the Finance Team of the Year Award at the 2019 Accountancy Service Awards. The CFO of Stanbic Bank, CPA Samuel Mwogeza was awarded CPA of the year, at the same Awards.

The full List of Winners of the 2019 FiRe Awards

Report of the Year Award

a) Bronze Award - National Social Security Fund

b) Silver Award - Uganda Development Bank Limited

c) Gold Award - Stanbic Bank Uganda Limited

 

Financial Reporting

1. Forex Bureaux

• Winner – Unimoni Exchange Services Ltd

 

2. Cooperative Societies

 

• 2^nd Runner Up - CPA SACCO Ltd
• 1^st Runner Up - Wazalendo SACCO Limited
• Winner - Y-Save Multi-Purpose Cooperative Society Ltd

 

3. Retirement Benefit Services

• 2^nd Runner Up - Standard Chartered Bank Staff Provident Fund
• 1^st Runner Up - Bank of Uganda Defined Benefits Scheme
• Winner - Makerere University Retirement Benefit Scheme

 

4. Regulatory Bodies and Associations

• 2^nd Runner Up – Uganda National NGO Forum
• 1^st Runner Up – Electricity Regulatory Authority
• Winner - Bank of Uganda

 

5. Non-for-Profit Organisations

• 2^nd Runner Up – Child’s i Foundation
• 1^st Runner Up – The Legal Aid Project of Uganda Law Society
• Winner – Reproductive Health Uganda Limited

 

6. Consumer and Industrial Products

Category A

• 2^nd Runner Up – Uganda Clays Limited
• 1^st Runner Up – British American Tobacco Uganda Limited
• Winner – Umeme Limited

 

7. Public Sector

• 2^nd Runner Up - New Vision Printing and Publishing Company Ltd
• 1^st Runner Up - National Water & Sewerage Cooperation
• Winner - National Social Security Fund

 

8. Insurance Services

• 2^nd Runner Up - Uganda Reinsurance Company Limited
• 1^st Runner Up - NIC Holdings Limited
• Winner - Liberty Life Assurance Uganda Limited

 

9. Stock Brokers

• Winner - Crested Stocks and Securities Limited

 

10. Other Microfinance Institutions

• Winner - Stromme Microfinance East Africa Limited

 

11. Microfinance Deposit Taking Institutions

• Winner - FINCA Uganda Limited (MDI)
 

12. Banking Services

• 2^nd Runner–Up - Uganda Development Bank Limited
• 1^st Runner–Up - Centenary Rural Development Bank
• Winner - Stanbic Bank Uganda Limited

 

Special Awards

 

1. Most Improved Report Award

• Winner - Makerere University Retirement Benefit Scheme

 

2. Reporting under the IFRS for SMEs

Certificate of recognition for Reporting under IFRS for SMEs

1^st Runner – Child’s i Foundation

• Winner - Unimoni Exchange Services Ltd

 

3. Reporting under IPSAS

• Winner - Kampala Capital City Authority

 

4. Best Listed Entity Award

• Winner - Stanbic Bank Uganda Limited

 

 

5. Communication Award

Certificates of recognition for achievements in communication and presentation

2^nd Runner–Up - Stanbic Bank Uganda Limited

1^st Runner–Up - National Water & Sewerage Cooperation

• Winner – National Social Security Fund

 

6. Sustainability Reporting Award

Certificates of recognition for good sustainability reporting

2nd Runner–Up - Centenary Rural Development Bank

1st Runner–Up - National Social Security Fund

• Winner - Stanbic Bank Uganda Limited

 

7. Corporate Governance Award

Certificates of recognition for good corporate governance reporting

2nd Runner–Up - National Social Security Fund

1st Runner–Up - Centenary Rural Development Bank

• Winner - Stanbic Bank Uganda Limited