The Citizen (KZN)

Sharp drop in CA candidates writing ITC exam

- Nondumiso Lehutso Moneyweb

Figures released by the South African Institute of Chartered Accountant­s (Saica) show that the number of finance graduates writing the Initial Test of Competency (ITC) exam – the first of two board exams that need to be passed to qualify as a chartered accountant (CA) – saw a sharp 24% drop this year.

With 2 946 candidates taking the exam, compared to 3 887 in 2021, concerns have been raised about the decline.

“The reduction in the number of ITC examinees is alarming, especially as it comes in the midst of a boom in global demand for South African-qualified chartered accountant­s,” said Graeme Marais, director of finance recruitmen­t company Blue Recruiting.

He noted that the number of candidates taking the ITC exam had been on the rise before 2022, growing by 19% in 2020, and 6% in 2021.

“This year’s ITC intake fell by around a quarter, which means the system will be producing fewer chartered accountant­s,” warns Marais.

“The fact that the potential number of CAs who will graduate in 2025 in South Africa [will consequent­ly] drop by such a large number is a worry.”

Robert Zwane, Saica’s executive in learning, developmen­t, and national imperative­s, said there are various factors that can account for the drop.

He noted that one of these factors is related to students needing to adapt to blended learning in university during Covid restrictio­ns over the past two years.

“The global consensus is that students have been negatively affected by the challenges of studying remotely,” added Zwane.

According to Prof Nico van der Merwe, outgoing CA programme coordinato­r at the North-West University, the drop could be due to the Covid pandemic and poor matric mathematic­s results.

“We have seen a steady drop in students qualifying to study CA with the poorer Grade 12 mathematic­s,” he said.

He said the universiti­es could not have avoided the drop in CA candidate numbers.

“Saica is maintainin­g a high standard of qualificat­ion and has not changed the competency framework,” he said.

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