MIA, Extol launch eConfirm.my to address bank confirmation issues, risks
KUALA LUMPUR, June 26 — The Malaysian Institute of Accountants (MIA) and Extol Corporation Sdn Bhd, a wholly-owned subsidiary of AppAsia Bhd, have launched eConfirm.my, an electronic bank confirmation (EBC) platform to address related issues and risks.
MIA president Huang Shze Jiun said the industry-wide EBC Platform marked another significant milestone for MIA in its mission to continuously improve the current bank confirmation process.
The new development is also anticipated to advance MIA’s digital transformation agenda for nation building and deliver significant benefits for stakeholders such as auditors, banks, reporting entities and the capital market as a whole.
“This platform will address the prevalent challenge of delays in receiving bank confirmation replies, that have seriously impacted on the timeliness of financial statements being approved by the Board of Directors and hence, delay the signing of audit reports,” Huang said during the launch today.
He said econfirm.my enhances professional accountants’ capability in the midst of a new normal skewed towards a low-contact economy, and supports Covid-19 health and wellness protocols as it reduces unnecessary human contact and promotes social distancing through a technology platform.
“Looking ahead, we will continue to engage with the participating auditors and banks in order to materialise the idea of an industry-wide electronic bank confirmation platform. Engaging the audit clients will also be particularly critical to scale up adoption,” he said.
He said 350 audit firms and seven banks had signed up to the EBC platform with more to join as eConfirm.my gains momentum.
The key benefits of the EBC platform include greater efficiency and savings; eliminates duplications and loss of confirmations and expedites confirmation replies to the auditors; and mitigates the risk of confidential information being wrongly sent to other parties through postal services.
The platform notably enhances accountability and traceability as the system is able to trail the confirmation status at any point in time; expedites confirmation and reduces delays in clearance of audited financial statements; and enhances compliance with approved standards on auditing, financial reporting deadlines and practice review requirements.