World Bank2015-05-122015-05-122014-09https://hdl.handle.net/10986/21873This assessment of accounting and auditing requirements and practices in Former Yugoslav Republic (FYR) Macedonia is part of a joint initiative implemented by the World Bank and the International Monetary Fund to prepare reports on the observance of standards and codes (ROSC). The assessment focuses on the strengths and weaknesses of the accounting and auditing (A and A) environment that influences the quality of corporate financial reporting, and includes a review of both statutory requirements and actual practice. The assessment also considers the extent of compliance with European Union (EU) requirements under the acquis communautaire. The strategic objective of this report is to support government efforts to improve the business climate in FYR Macedonia, and achieve the country s overarching goal of EU integration. The three essential pillars of institutional infrastructure are: (i) adequate and appropriate legal requirements, (ii) capacity sufficient to implement those requirements, and (iii) effective enforcement mechanisms. This report updates the first ROSC A and A prepared in 2003. This report provides policy recommendations to improve financial transparency in the domestic corporate sector and to strengthen accounting and audit practices in line with international benchmarks and EU Directives.en-USCC BY 3.0 IGOACCOUNTANCYACCOUNTANTACCOUNTANTSACCOUNTINGACCOUNTING POLICIESACCOUNTING REFORMACCOUNTING SERVICESACCOUNTING STANDARDSACCOUNTSAUDIT COMMITTEEAUDIT COMMITTEESAUDIT REPORTSAUDIT STANDARDSAUDITED FINANCIAL STATEMENTSAUDITINGAUDITING PROFESSIONAUDITING STANDARDSAUDITORSAUDITSBALANCE SHEETBANK FINANCINGBANK LOANSBANKING ASSETSBANKING LAWBANKING SECTORBANKING SECTOR ASSETSBANKING SYSTEMBARRIERS TO ENTRYBONDSBROKERAGEBUSINESS ADMINISTRATIONBUSINESS COMMUNITIESBUSINESS LAWCAPACITY BUILDINGCAPITAL ADEQUACYCAPITAL MARKETCAPITAL MARKETSCASH FLOWCASH FLOWSCENTRAL DEPOSITORYCOLLATERALCOMMERCIAL BANKSCOMPANY LAWCOMPLIANCE COSTSCOMPLIANCE GAPCONSOLIDATED FINANCIAL STATEMENTSCONSUMER PROTECTIONCORPORATE GOVERNANCECOST OF CAPITALCREDIT CARDSCREDIT INSTITUTIONSCREDIT LINESCURRENCYCURRENT LIABILITYDEPOSITDEPOSITSDISCLOSURE REQUIREMENTSDOMESTIC MARKETECONOMIC DEVELOPMENTEMPLOYMENTENFORCEMENT MECHANISMSENFORCEMENT POWEREQUIPMENTEXCHANGE COMMISSIONFACTORINGFAIR VALUEFINANCIAL CRISISFINANCIAL INFORMATIONFINANCIAL INSTITUTIONFINANCIAL INSTITUTIONSFINANCIAL INSTRUMENTSFINANCIAL MANAGEMENTFINANCIAL REPORTINGFINANCIAL REPORTING STANDARDSFINANCIAL REPORTSFINANCIAL STABILITYFINANCIAL STATEMENTFINANCIAL STATEMENTSFOREIGN DIRECT INVESTMENTFOREIGN DIRECT INVESTMENTSFOREIGN INTERESTSFOREIGN INVESTMENTFOREIGN INVESTMENTSFOREIGN INVESTORSGOOD PRACTICEGOOD PRACTICESGOVERNMENT BUDGETGOVERNMENT SECURITIESGROSS DOMESTIC PRODUCTHOLDINGHUMAN RESOURCESINFORMATION SYSTEMINFORMATION TECHNOLOGYINITIAL PUBLIC OFFERINGINSURANCEINSURANCE COMPANIESINSURANCE COMPANYINTERNAL AUDITINTERNAL AUDITINGINTERNAL CONTROLSINTERNATIONAL ACCOUNTING STANDARDSINTERNATIONAL BANKINTERNATIONAL STANDARDINTERNATIONAL STANDARDSINVESTMENT CLIMATEINVESTMENT FUNDINVESTMENT FUNDSINVESTMENT OPPORTUNITIESINVESTOR CONFIDENCEIPOJOINT STOCK COMPANIESJOINT-STOCK COMPANYLARGE CITIESLAWSLEGISLATIONLENDERLIMITED LIABILITYLLCLOANLOCAL ENTERPRISESMACROECONOMIC POLICIESMANDATESMARKET CAPITALIZATIONMARKET ECONOMYMICRO ENTERPRISESMICROENTERPRISESMONETARY FUNDNON-PERFORMING LOANSOPERATING LEASESOPERATING LOSSESPENSIONPENSION FUNDSPORTFOLIOPORTFOLIO INVESTMENTPRODUCTIVITYPROFITABILITYPRUDENTIAL REQUIREMENTSPUBLIC ACCOUNTINGPUBLIC INVESTMENTPUBLIC SERVICESQUALITY ASSURANCEQUALITY CONTROLREGULATORY FRAMEWORKRETURNRISK MANAGEMENTRULE OF LAWSAVINGSSECURITIESSECURITIES MARKETSELF-REGULATIONSHAREHOLDERSHAREHOLDERSSHORT-TERM LIQUIDITYSTATUTORY AUDITORSSTATUTORY REQUIREMENTSSTOCK EXCHANGESTOCK EXCHANGESSTOCK MARKETSUBSIDIARYSUPERVISORY AGENCYSUPERVISORY AUTHORITYSUPERVISORY BOARDTAXTAX RATETAXATIONTECHNICAL ASSISTANCETRADINGTRANSPARENCYTURNOVERVALUATIONReportWorld Bank10.1596/21873