PwC exits Zimbabwe
STAFF WRITER
PriceWaterhouseCoopers (PwC), one of the world’s big four accountancy firms, is exiting Zimbabwe before the end of this year, Business Times can report.
PwC’s withdrawal from Zimbabwe comes a few months after Deloitte Africa’s departure from the country.
Deloitte Zimbabwe subsequently rebranded to Axcentium following management buyout.
This was an unexpected move.
The imminent exit by PwC came to light after Zimbabwe’s largest packaging firm, Nampak Holdings Zimbabwe revealed in a notice to its shareholders that it plans to hold an EGM on May 23, 2024 to choose new auditors to replace PwC, which has served as its external auditors for many years.
Nampak group company secretary Keith Nicholson disclosed that PwC Africa was pulling out of the Zimbabwe practice.
Interestingly, the Nampak board of directors has recommended the appointment of Axcentium, formerly Deloitte Zimbabwe to be the new auditors.
“Notice is hereby given that an extraordinary general meeting of members of Nampak Zimbabwe Limited will be held on Thursday May 23, 2024 at 09.00 hours to transact the following business.
In terms of Section 191(13) of the Companies and Other Business Entities Act (Chapter 24:31) a special notice is required for the passing of a resolution appointing the new auditors.
As a consequence of PwC Africa’s notification of its intention to exit PwC Zimbabwe during the course of the year, the board proposes to change auditors to Axcentium.
“The Board does not see value in retaining the successor firm to PwC Zimbabwe for the audit going forward,” Keith Nicholson said.
Contacted for a comment PwC Zimbabwe managing partner, Clive Mukondiwa said: “I will revert to you as soon as is practicable. Please bear with me.”
The latest development comes at a time when business, globally, has slowed for the big four accountancy firms, KPMG, PwC, EY and Deloitte.
The big four, have shed more than 9,000 jobs through several waves of layoffs the firms’ largest markets in the US and UK.
In recent years, all the big four accountancy firms, have reduced their operations in Zimbabwe, partly due to decrease in consultancy work in the country.
Zimbabwe has also been battling hyperinflationary environment, which makes it difficult for local practices to comply with the strict audit standards required by global firms, according to experts.
