Accounting systems in Laos to be upgraded

Accounting systems in Laos are to be upgraded to international standards through the implementation of independent auditing strategies and action plans.

About 70 representatives from different government departments and managers from the private sector gathered in Vientiane on Monday to share their experience about strategies to improve accounting standards and the independence of auditing processes in Laos. Experts from the International Monetary Fund and the World Bank were also in attendance.

The meeting was organised to improve financial practices in Laos as part of the government's four breakthrough approaches to socio-economic development which hopes to speed up poverty alleviation and see Laos escape least developed country status by 2020.

The strategy plan has a three pronged approach which includes independent auditing, drafting laws to mandate minimum accounting and audit standards, and developing management plans and institutional bodies to ensure that the new accounting standards are upheld.

The new laws will mandate minimum reporting standards based on international norms for small and medium sized enterprises, as well as new requirements for government bodies in relation to cash accounting which will be required before the government sector can reach international standards.

The strategy will put into place a training plan for all relevant sectors so that they can develop the skills of accountants and independent auditors to the necessary level. Firstly the plan aims to develop the necessary skills, after which guaranteed standards can then be mandated for all relevant sectors in the futur e.

Deputy Minister of Finance Dr Viengthong Siphandone said that the meeting had been very productive and all participants had increased their understanding of international accounting systems and would continue to develop their skills into the future. The meeting was supported by the Ministry of Finance in cooperation with the International Monetary Fund and the World Bank.

vientiane times

>   Lao's accounting reform strategy discussed (23/08/2011)

>   Microfinance institutes turn focus to social performance (17/08/2011)

>   Lao central bank keeps reserve requirement unchanged (17/08/2011)

>   Lao-Viet Bank plans major upgrade (09/08/2011)

>   Lao, Thai banks further cooperation (05/08/2011)

>   DPF officials evaluate progress (02/08/2011)

>   Indochina Bank opens new business unit in Khammuan (25/07/2011)

>   Govt considers foreign investment in micro finance (22/07/2011)

>   French bank buys 10 percent of BCEL shares (18/07/2011)

>   Central bank cuts funding for infrastructure development (15/07/2011)