Experts call for the adoption of international accounting standards

5/18/2015 0:00

Aimed at the financial and banking system reform

BAGHDAD - Hussein Tgb

He urged the specialized seminar on the importance of orientation for the adoption of international accounting standards in order to achieve financial stability, especially as the financial crises plaguing the economies of the world linked to accounting standards amounting to 42 standard with Iraqi standards stood at 12 standard did not occur for decades.

The seminar organized by the Association of private banks in Iraq and was attended by the governor of the central bank d. Keywords Ali confirmed that the application of accounting standards contributes to the achievement of disclosure and transparency, and international organizations pursue their application and development in the countries of the world.

Association of private banks in Iraq have shown that the reason for the adoption of international accounting standards in Iraq due to the increasing number of joint stock companies, as well as the number of banks for the purpose of encouraging investment in all its forms, as well as the presence of a good number of insurance companies in Iraq of being linked to international companies follow International Accounting Standards, and the urgent need for oil companies and branches of foreign companies for the application of these standards, as well as the presence of some banks and companies in common with the international institutions, and the unification of Almalahalasasah menus (statement of financial position, comprehensive income detection, detection of cash flow and detection of changes in shareholders' equity) and with a view to ease the analysis Financial and conduct comparisons between institutions.

Executive Director of the Association of Ali Tariq said, after the agreement on the methodology for the adoption of standards and responsible party must agree on the adoption of standards that must include the time frame for the adoption process and time frame for the transition period between the domestic and international standards plan, pointing to the importance that the plan include a comprehensive training program on Iraq level for all accountants and auditors and rehabilitation of the work of the new standards, as required by the party responsible also put a permanent training plans and not one for all, as well as working with universities, institutes, colleges and other relevant agencies such as the Ministry of Higher Education and the Office of Financial Supervision to update and change the curriculum to be in accordance with the International Accounting Standards.

President of the Society of Chartered Accountants Adel Hassoun said: When you study the subject in legal terms, we find that this issue should have be resolved 20 years ago, for several reasons, first, that now the system used that year put 1992 put a specific system within certain hypotheses of banking activity and adopted planning concepts Central in terms of national accounts, statements, since 1982 so far issued only 14 standard while international standards exceeded 42 standard plus 36 explanation in addition to a number of Altadelat.ofatt that international standards more than 4,000 pages and become one of the amplitude and complexity are not aware of the dimensions we receive the banking system in Iraq.

This is a big problem and there is no one action is taken we are and we stayed in Iraq the last case, pointing out that banks in Iraq has a relationship with 80 to 90 banks correspondent and understanding the language with correspondent banks are through the final accounts showing the financial position of the Bank and Nchath.oaguetrah Hassoun do courses the auditors and which do not pass this session has no right to the vetting process for banks.

And chief financial officer at any bank must also pass this session and everything else is not entitled him to receive this important position, and we must turn a serious leap in this regard.

Besides setting a transition period of 3 years and during this period each bank as possible to follow this way, but then everyone must apply this mechanism, in addition to developing courses for auditors and to develop measurement methods.

The Iraq Stock Exchange director Taha Ahmed Abdul Salam said that the late start better than not starting and that the decision to begin considered a bold decision, pointing out that the harmony between the private and public sectors is weak.

And that the reason for delaying the application of standards is a political system in the past.

Where our system is supposed current political application of international standards, although he at the stage which moves to a market economy.

 Nor should begin the process of patching, urging the need for attention to the academic and teaching side by organizing courses.


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