Initiating compliance with Bhutanese Accounting Standard

The Bhutanese Accounting Standards was launched on April 6, 2012, to improve the accounting and auditing processes comparable to the international best practices. The need was felt with the growing number of companies and opening of Bhutanese economy to the outside world for trade and investment.

Since Bhutan does not have its own standards, business entities including Corporations have been preparing their financial statements on the basis of Generally Accepted Accounting Principles. The launch of Bhutanese Accounting Standards (BAS) is expected to facilitate high quality accounting through a transparent system. The Bhutanese Accounting Standards will be implemented starting January 1, 2013, and is applicable to all the registered companies under the Companies Act of the Kingdom of Bhutan 2000. Druk Green, being one of the registered companies, will also need to start applying the BAS from 2013.

The implementation of the BAS in Druk Green is one of the PLIS targets, the achievement growth will of which be verified by Statutory Auditors. Since, the Bhutanese Accounting Standards will be implemented in the phased manner; the PLIS target to be achieved will be measured for only those Standards as applicable in phases.

For the same purpose, a week-long meeting was held at the Druk Green Corporate Office, which began on June 24, 2013, with the agenda of discussing on Bhutanese Accounting Standards.

The discussion is expected to come out with consistent awareness programmes on Accounting Manuals of Druk Green, which will be provided to the FID and O&M, to all employees up to SO level, as per PLIS.

The meeting also saw discussions on the Delegation of Powers (DOP) and various processes of finance to bring about uniformity and consistency within Druk Green wherever required.

Jan 09, 2014    News    Admin

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