Press release on China's new accounting standards
20 Feb 2006
In our news story of 16 February 2006, we reported that the Ministry of Finance (MOF) of the People's Republic of China has announced that it has adopted a new basic standard and 38 new Chinese Accounting Standards that are substantially in line with IFRSs.
MOF has also adopted new auditing standards that are substantially in line with International Standards on Auditing (ISAs). The MOF has issued a (PDF 17k) elaborating on the new accounting and auditing standards. In December 2005, the Chinese Auditing Standards Board (CASB) and the International Auditing and Assurance Standards Board (IAASB) had released a joint statement in which the CASB states that the fundamental principle of drafting Chinese auditing standards is to improve the Chinese auditing standards system and to accelerate its convergence with the IAASB's ISAs. Click for (PDF 988k), which we had reported in our news story of 23 December 2005.