2008年-世界发展银行全球_The_Republic_of_Uzbekistan___Accounting_and_Auditing_41页_1mb

Summary of the Report on the Observance of Standards and Codes (ROSC) in the Republic of Uzbekistan

Core Content

The Report on the Observance of Standards and Codes (ROSC) assesses the accounting, financial reporting, and auditing practices in the Republic of Uzbekistan. It is part of a joint initiative by the World Bank and IMF, using International Accounting Standards (IAS), International Financial Reporting Standards (IFRS), and International Standards on Auditing (ISA) as benchmarks. The report highlights the progress made by Uzbekistan in aligning its accounting and auditing standards with international norms, while also identifying areas needing improvement to enhance the quality and availability of financial information.

Main Findings

• Economic Growth: Uzbekistan has experienced strong economic growth, with real GDP increasing by 9.5% in 2007, the highest since independence in 1991. However, the quality of financial reporting remains a key area for improvement to support further development and attract investment.

• Legal Framework: The country has progressively updated its legal and statutory framework for financial reporting, including the Law on Accounting (1996) and the Law on Auditing (2000). These laws established the Ministry of Finance (MoF) as the accounting standard setter and the Chamber of Auditors as a voluntary professional association for auditors.

• Harmonization with International Standards: Uzbekistan is working to harmonize its national accounting and auditing standards with IFRS and ISA. The government is considering the official translation of these standards into domestic languages.

• Audit Independence Concerns: While the banking sector prepares IFRS-compliant financial statements, the process involves auditors who audit these statements, raising concerns about the independence of auditors.

Key Recommendations

1. Statutory Framework

• Define Public Interest Entities (PIEs): Establish clear quantitative criteria to distinguish PIEs from SMEs and micro entities to tailor financial reporting requirements.
• Strengthen Oversight and Quality Assurance: Develop a robust audit quality assurance review program and enhance the oversight system for the audit profession.

2. Public Availability of Financial Statements

• Mandate Full Disclosure: Require all regulated entities (e.g., financial institutions) to submit and publish full financial statements, including notes, on their regulators' websites.
• Create a Central Registry: Establish a public registry to collect and disseminate financial statements of all Uzbek companies, improving transparency.

3. Institutional Capacity Building

• Enhance Regulatory Capacity: Provide support to regulators and professional organizations to build staff numbers, qualifications, and training programs.
• Develop Long-Term Business Plans: Each institution involved in financial reporting regulation should develop a long-term business plan.
• Improve Audit Quality Control: Create an infrastructure and methodology for audit quality control and ensure all licensed auditors are members of professional organizations meeting IFAC standards.

4. Professional Education and Training

• Update University Curricula: Integrate IFRS and ISA into university programs and enhance the quality of education and training.
• Support Educators: Implement a major re-training program for accounting educators and align university courses with professional certification requirements.
• Promote Certification Programs: Encourage universities to prepare students for CAP/CIPA qualifications and consider local certification programs.

5. Monitoring and Enforcement

• Implement Penalties: Increase and enforce penalties for non-compliance with financial disclosure requirements.
• Link Licenses to Compliance: Make audit licenses and certificates contingent on compliance with Continuing Professional Development (CPD), indemnity insurance, and other professional requirements.
• Strengthen Enforcement Mechanisms: Develop more effective enforcement and monitoring systems to ensure adherence to standards.

Conclusion

The report emphasizes the need for a sustained, multi-disciplinary reform effort to build a modern and robust financial reporting infrastructure. It recommends the establishment of a working body comprising stakeholders to develop and implement a Country Action Plan, which should include a detailed timeline, responsibilities, and a comprehensive budget. The report also encourages collaboration with international experts and the adoption of best practices from peer countries.

Key Information

• GDP Growth: 9.5% in 2007, the highest since independence.
• IFRS Adoption: Uzbekistan is gradually adopting IFRS and ISA, with plans to translate them into domestic languages.
• Audit Independence: Concerns exist regarding the independence of auditors in the current practice.
• Financial Disclosure: Currently, companies only release summarized financial statements, not full ones.
• Regulatory Bodies: Central Bank of Uzbekistan (CBU), Center on Coordination and Control over Functioning of the Securities Market (CCCFSM), and Ministry of Finance (MoF) are key regulators.
• Public Interest Entities (PIEs): Entities such as financial institutions and major private enterprises are of public interest and should be subject to stricter reporting and auditing standards.

Summary of Policy Recommendations