Seminar on the subject “Application of International Financial Reporting Standards in Belarus”
A seminar on the subject «Application of International Financial Reporting Standards in Belarus (IFRS)» for economic journalists was held in the embassy of United Kingdom of Great Britain and Northern Ireland in Minsk under the auspices of Association of European business and auditing organization Baker Tilly Bel on April 24. As it was stated by representatives of auditing organization Baker Tilly Bel and the Ministry of Finance differences between IFRS and Belarusian statements are hyperinflation (reports should be indexed in inflation rate in the end of the year) — accounting method of capital assets; inventory valuation; acceptance and subsequent accounting of financial instruments.
Ministry of Finance of the Republic of Belarus separates 5 ways of convergence with IFRS out: IFRS official transformation, IFRS monitor compliance, national legislation amending, IFRS specialists preparation, participation in international organizations.
Statements in accordance with IFRS first of all is interesting to investors. Transformation of an organization’s statements into the Statements in accordance with IFRS is a costly process, but according to representatives of auditing organization Baker Tilly Bel statements should be transformed according to IFRS.
IFRS was developed in 1973. 100 countries use principles of IFRS. More than 40,000 transnational corporations with more than 200 thousand subsidiaries and affiliates around the world prepare financial statements in compliance with IFRS voluntarily. Companies included in the listing in the EU are required to use approved IFRS while preparing the consolidated financial statements.
Since 2008, all Belarusian banks make annual consolidated financial statements in accordance with IFRS. Since 2016, the National Bank of Belarus recommended to all important enterprises (exchanges, insurance companies, companies that have subsidiaries, etc.) to prepare annual consolidated financial statements in accordance with IFRS.