Press release on holding a Round table on the rotation of audit organizations

In the implementation of the Law of the Republic of Kazakhstan dated July 3, 2020 «On Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan on audit activities», 9 regulatory legal acts have been developed and registered with the Ministry of Justice of the Republic of Kazakhstan. One of these orders provides for the rotation of audit organizations.

On July 16, 2021, Vice-Minister of Finance Kenbeil D. took part in a meeting to discuss amendments to the order of the Minister of Finance of the Republic of Kazakhstan «On approval of minimum Requirements for audit organizations that conduct mandatory audits» (hereinafter – the Order), regarding the rotation of audit organizations.

The meeting was attended by more than 10 representatives of interested bodies, including an expert of the World Bank, the Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan, audit organizations.

It was reported at the meeting that the Order was brought into compliance with the norms of the Code of Ethics and International Auditing Standards, namely, in terms of the rotation of an audit organization in the case of an audit of one organization, including a financial organization continuously for 7 (seven) years.

In addition, the Director of the Department of Accounting Methodology, Audit and Evaluation Bekturova A. also gave examples of international practice involving the rotation of auditors and audit firms in the United States, Great Britain and Brazil.

Representatives of the Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan noted that the rotation of audit organizations is very important as a component of a high-quality audit report.

According to the results of the Round table, the participants of the meeting supported the need for rotation of audit organizations, and also agreed on further discussion of this issue.