“Financial literacy is an issue that should command attention because it is the backbone of economic development and

growth”-
As an accounting student, I aspire to drive sound financial management within the organization I will be working in the
future. I am comfortable dealing with facts and typically leave the wider social and political issues to others. I am one of those
few who would claim we can change the world….but can we? Maybe it’s not as far-fetched as it sounds.
My professors reminded me not only of the fellowship we have as a global profession but also of the difference
accountants can make in the march toward economic development. Countries need not only physical infrastructure to facilitate
economic growth, but also the talent of professional accountants to manage resources and provide financial leadership.
Economic growth in many countries is not strong and levels of public debt are high just like in the case of the Philippines.
Governments have not been fast to embrace the benefits of improved financial management through being more accountable and
transparent in how they use public funds and in the outcomes of those expenditures. When governments call on professions to
provide them with counsel, the economists, lawyers and medical professions are all invited to the table. The accountants typically
are not. They are busy balancing the books and staying out of the political limelight. It is not clear why that is the case because
they have a lot to bring to the table—contributing to discussions about economic growth, managing finances and facilitating
access to capital, promoting good financial management in government, and shining a light on the scourge of corruption.
Accountants have many roles to play in the development of every economy. The growth and development of every economy
depends on how resources are prudently managed and controlled.

Investments are the building blocks on which an economy is built. Investing money in a business either in the form of
technology or in the form of money definitely will help to the economic development of a country. If the business persons have
sufficient investment, they will produce more goods and they can provide more employment opportunities to the public. If
employment opportunity increases in a country, income and standard of living of the workers also will increase. If standard of
living increases, automatically the workers purchasing power also will increase. The workers or the public will consume more
goods from the business people. So that business people also will get benefit. Simultaneously the economic conditions of that
country will also develop. Just like a chain it is functioning. Without investments, the economy will not develop and grow. It is a
well-known fact that economic development and growth will not be achieved if finance are not well managed. Accountants render
financial service to business owners and the community at large.
I believe there is an old adage that one does not get rich by earning and throwing away. Same goes to economic
development. Costs must be minimized in order for an economy to grow and develop. It is the main role of accountants to be cost
savers. Knowledge acquired from cost and management accounting is the most powerful tool that accountants need to give
management the best advice on cost saving.
As we all know, corruption is among the greatest obstacles to economic and social development. The harmful effects of
corruption are especially severe on the poor, who are hardest hit by economic decline, most reliant on the provision of public
services, and least capable of paying the extra costs associated with bribery and fraud. The world economy has lost so much from
the activity of the fraudsters. Perhaps if the activities of the fraudster are not put under check, economic development will be
stalled as no meaningful economic development will take place in an environment where embezzlement is all we hear in the news
on a daily basis. Accountants are trained to be at the front seat in the fight against fraud in our time.

Moreover, accounting helps to ensure adequate rewards and returns are produced from the activities of an economy. It
also helps to operate at optimum level. This is because accountants ensure that resources are obtained economically and used
effectively and efficiently.
Last but not the least, accounting helps an economy to prepare national income and national budget. Without accounting,
a nation will not be able to ascertain the productive activities going on in the economy.
In conclusion, accounting will not only ensure that there is adequate planning of an economy, it will also see to the
optimal utilization of resources of that economy, proper accountability of action managers, adequate guide to investors, and also
ensure the effective generation of government revenue through taxes and other sources.
The reality is that we can change the world, or at least play our part to make the world a better place