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IFRS 17
Financial Focus 2023 | Part 1: Investigating some of the challenges companies are facing and how to navigate these to ensure you keep your IFRS 17 project from getting derailed.
Welcome to the 2023 edition of Financial Focus, PwC’s industry publication for the financial services sector in the East Africa region. I’d like to start off by highlighting three topical areas within the region’s financial services sector. First, for the insurance industry, IFRS 17 is a key topic of discussion as this will be the first year of implementation and reporting under the new standard. It is a rush to the finish line for many players in the industry.
Secondly, I’d like to emphasise the importance of robust cybersecurity measures as the financial services space continues digitising and advancing technologically. Increased automation and digitisation brings along with it certain new risks. In July 2023 we witnessed a series of cyber incidents in Kenya, testing the cybersecurity and resilience of public systems and organisations. This was a wake up call for organisations in the region, especially those in the financial services sector.
Thirdly, the financial sector in East Africa has not been spared by the various macroeconomic trends witnessed globally. There has been an economic slowdown characterized by high inflation, rising interest rates and depreciation of most currencies against the US dollar. The global economic growth is projected to slow down to 3% in 2023, with the slowdown affecting most countries. In East Africa, although a slowdown is expected, GDP growth is still expected to be around 5%. The Russia-Ukraine conflict demonstrated how interlinked the world economy is and how a conflict in a small part of the world can cause disruptions globally.
This Financial Focus edition shares insights on topics that are relevant to financial institutions across the East Africa region. Many of our financial services clients operate regionally and the contributors to articles in this edition reflect this regional outlook.
Financial Focus 2023 | Part 1: Investigating some of the challenges companies are facing and how to navigate these to ensure you keep your IFRS 17 project from getting derailed.
Financial Focus 2023 | Part 2: Automated risk management and fraud control strategies to strengthen fraud prevention and protection capabilities is more crucial than ever before.
Financial Focus 2023 | Part 3: What exactly is this monster called cryptocurrency? And what does bitcoin have to do with it?
Financial Focus 2023 | Part 4: Digital transformation has compelled companies in the financial services sector to seek new strategies and business models to create and capture value.
Financial Focus 2023 | Part 5: In the 2023 Digital Trust Insights survey, 45% of respondents with a tech role selected ransomware as an increased threat in 2023 compared to 2022.
Financial Focus 2023 | Part 6: A quick reflection of the status of the weather events in Africa over the last 12 months and its effects on climate change.
Financial Focus 2023 | Part 7: Is it time to rethink Excise Duty and treatment of bad debts for financial institutions in EAC?