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Armenia

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Financial Reporting Framework in Armenia

IFRS have been adopted as the accounting standards of the Republic of Armenia by law for all companies except micro-entities. There are no local standards and no local standard-setting body. The Government of the Republic of Armenia has authority to set standards to be used by micro-entities as well as to publish the officially translated IFRSs.

The Law on Accounting (2003), as amended in December 2008, requires all companies in the Republic of Armenia to prepare financial statements in accordance with IFRSs with a sole exception of micro-sized entities. Adopted IFRSs also include the IFRS for SMEs, and all SMEs as defined by the IASB are permitted to use the IFRS for SMEs. The law can be downloaded in non-official English translation from the Central Bank of Armenia website. It states:

Pursuant to procedure established by this law, Armenia adopted international accounting standards, as well as principles of developing and introducing financial reports published by the International Accounting Standards Board, guidelines for application of the standards and other documents of mandatory use (hereinafter, guidelines of international standards). International Financial Reporting Standards include International Accounting Standards adopted by International Accounting Standards Board, interpretations thereto, as well as future standards and comments adopted by International Accounting Standards Board and interpretations thereto.

IFRSs are translated into Armenian with the help of the AAAA. Financial institutions are required to apply all IFRSs as issued by the IASB on the effective date set by the IASB. For all other entities (with the exception of micro-sized entities) IFRSs become mandatory only from the beginning of the calendar year starting six months after the official translation of a new or amended IFRS into Armenian has been published. However, a voluntary application before the translations are published is possible.

The is no direct requirement to use IFRSs in the listing rules of the Armenian stock exchange, instead, they refer to the laws of the Republic of Armenia. However, as the Law on Accounting requires the use IFRSs, all companies whose securities trade in a public market in Armenia are required to use IFRSs.

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.