World Bank2013-07-242013-07-242004-06-28https://hdl.handle.net/10986/14532Financial reporting and auditing practices in Moldova's corporate sector are currently in a period of transition from providing for tax calculation and statistical needs to convergence with International Financial Reporting Standards (IFRS) and International Standards on Auditing (ISA). This report draws upon recent international experience in developed economies and EU accession countries as well as expected amendments to EU Directives. The review found that, except in the banking sector, the current level of compliance with financial reporting obligations is inadequate, and that the quality of the financial reporting is low. In that context, the report recommends the following actions: (i) the capacity of regulatory agencies for enforcing accounting standards and financial reporting requirements to all entities of public interest - including large state-owned enterprises - should be increased; (ii) a public registry should be set-up for all public-interest companies to file their financial statements; and (iii) an independent oversight board of auditors should be established under the soon-to-be-issued new Audit Law, with the function to qualify statutory auditors, adopt auditing standards and develop guidelines, and monitor auditors compliance with NSA and independence requirements.en-USCC BY 3.0 IGOACCOUNTACCOUNTABILITYACCOUNTANTACCOUNTANTSACCOUNTINGACCOUNTING CURRICULAACCOUNTING CURRICULUMACCOUNTING FIRMACCOUNTING FIRMSACCOUNTING POLICIESACCOUNTING PRINCIPLESACCOUNTING PROCEDURESACCOUNTING RECORDSACCOUNTING RULESACCOUNTING STANDARDACCOUNTING STANDARDSACCOUNTSACTUARIESAFFILIATESAMORTIZATIONAUDIT COMMITTEESAUDIT REPORTSAUDITED FINANCIAL STATEMENTSAUDITINGAUDITING STANDARDSAUDITORSAUDITSBALANCE SHEETBANKING INSTITUTIONSBANKING REGULATIONBANKING SECTORBANKING SUPERVISIONBENEFICIARIESBOOKKEEPINGBORROWING COSTSBROKERAGEBROKERAGE FIRMSBUDGET CONSTRAINTSBUSINESS COMBINATIONSBUSINESS MANAGEMENTCAPITAL MARKETSCASH FLOWCASH FLOW STATEMENTSCHARTS OF ACCOUNTSCIVIL CODECOMMERCIAL BANKSCOMPANY LAWCOMPUTERIZED ACCOUNTING SYSTEMSCONFLICTS OF INTERESTCONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATIONCONTINGENT LIABILITIESCOST OF CAPITALCREDIT ASSESSMENTCREDIT ASSOCIATIONSCREDIT DECISIONSCREDIT INSTITUTIONSCREDITORSCURRENCYDEBTDEBTORSDEPOSITSDEPRECIATIONDUE DILIGENCEEARNINGS PER SHAREECONOMIC DEVELOPMENTEQUIPMENTEXCHANGE RATESEXTERNAL AUDITORSFINANCIAL INFORMATIONFINANCIAL INSTITUTIONSFINANCIAL INSTRUMENTSFINANCIAL RATIOSFINANCIAL REPORTINGFINANCIAL REPORTING STANDARDSFINANCIAL REPORTSFINANCIAL STATEMENTFINANCIAL STATEMENTSFINANCIAL SUPPORTFINANCIAL SYSTEMFIXED ASSETFOREIGN DIRECT INVESTMENTFOREIGN EXCHANGEFOREIGN INVESTMENTFUTURE CASH FLOWSGAAPGOVERNMENT GRANTSGROSS DOMESTIC PRODUCTHOLDINGHUMAN RESOURCEHUMAN RESOURCESINCOME TAXESINFLATIONINSTITUTIONAL CAPACITYINSURANCEINSURANCE COMPANIESINSURANCE COMPANYINTANGIBLEINTANGIBLE ASSETSINTERNATIONAL ACCOUNTING STANDARDSINTERNATIONAL ACCOUNTING STANDARDS COMMITTEEINTERNATIONAL DEVELOPMENTINTERNATIONAL STANDARDINTERNATIONAL STANDARDSINVENTORIESINVESTINGINVESTMENT DECISIONSINVESTMENT FUNDSINVESTMENT PORTFOLIOINVESTMENT PROJECTSISSUANCEJOINT STOCK COMPANIESJOINT-STOCK COMPANIESJOINT-STOCK COMPANYLACK OF TRANSPARENCYLAWSLEGAL FRAMEWORKLEGAL TRADITIONLEGAL TRADITIONSLEGISLATIONLENDERSLEVYLOANLOAN PORTFOLIOSLOANS TO CUSTOMERSLOCAL STOCK MARKETLOSS STATEMENTMARKET CAPITALIZATIONMARKET ECONOMYMATURITIESMONETARY FUNDMUTUAL FUNDSNATIONAL BANKNATIONAL SECURITIESNET PROFITNET SALESOPEN JOINT STOCK COMPANIESPAYROLLPENALTIESPENSIONPENSION FUNDSPRESENT VALUEPRIVATE INVESTORSPRIVATIZATIONPUBLIC ACCOUNTINGPUBLIC DISCLOSUREPUBLIC OFFERINGSPUBLIC REGISTRYQUALITY ASSURANCEQUALITY CONTROLREGULATORY FRAMEWORKREMITTANCEREMITTANCESREPORTINGREPORTING SYSTEMSRESERVESRETIREMENTRETURNRETURN ON ASSETSSALESSAVINGSSECURITIES MARKETSECURITIES MARKET LAWSHAREHOLDERSSMALL BUSINESSSOLVENCYSTATE ENTERPRISESSTATUTORY AUDITORSSTATUTORY REQUIREMENTSSTOCK EXCHANGESTOCK MARKETSUBSIDIARIESSUBSIDIARYTAXTAX CODETAX COLLECTIONTAXATIONTECHNICAL ASSISTANCETELECOMMUNICATIONSTHE NATIONAL BANK OF MOLDOVATRADINGTRANSITION ECONOMIESTURNOVERWITHDRAWALWorld Bank10.1596/14532