Suriname

Member Organizations

Member Organization Associate Other PAOs

  Suriname Chartered Accountants Institute

Legal and Regulatory Environment

  • Overview of Statuatory Framework for Accounting and Auditing

    The Act on Annual Accounts of 2017 establishes basic financial reporting and auditing requirements. The law sets out the accounting and financial reporting framework to be used; identifies responsible parties for the preparation, approval and distribution of financial statements; and defines classes of companies based on size. Prior to this legislation, there was no overarching accounting and auditing legislation that set accounting standards, regulated the accountancy profession, or enforced financial reporting requirements. Until the new legislation is effective in 2020, the majority of companies in Suriname follow a form of Netherlands national accounting standards because of the historical relationship of Suriname and the Netherlands. Netherlands GAAP is published in the Dutch language, which is the national language of Suriname. The Central Bank of Suriname is responsible for prudential supervision of financial institutions, including banks, insurance companies, pension funds, and credit unions. However, neither the Bank Act nor regulations adopted by the Central Bank mandates the specific accounting standards to be followed by those financial institutions.

    Based on the Act of Annual Accounts of 2017, the following financial reporting requirements will become effective in 2020. All large corporations and public interest entities (PIEs) are required to prepare financial reports in accordance with IFRS as issued by the International Accounting Standards Board. Large corporations are defined as entities which meet two of the three criteria: (i) greater than SRD 12 million total value of assets; (ii) greater than SRD 24 million net revenue; or (iii) more than 50 full-time employees. PIEs are legally defined as companies that have such a social interest that inadequate management and financial accountability can negatively influence the public’s trust. Included in the definition of PIEs are: listed entities, banks, financial institutions, insurance companies, pension funds and stated owned entities.

    All small- and medium-sized companies will be required to apply IFRS for small- and medium-sized enterprises (SMEs) and will have until 2021 to transition to the IFRS for SMEs. Medium sized entities are defined as entities which meet two of the three criteria: (i) greater than SRD 3 million but less than SRD 12 million total value of assets; (ii) greater than SRD 6 million but less than SRD 24 million of net revenue; or (iii) greater than 20 but less than 50 full-time employees. Small entities on the other hand are defined as entities with: (i) less than SRD 3 million total value of assets, (ii) less than SRD 6 million net revenue, or (iii) less than 20 employees).

    The Act on Annual Accounts also sets requirements and thresholds for statutory audits. All large corporations, medium-sized legal entities, and PIEs are required to undergo a statutory audit.

    The Law on Accountancy of 2018 designates the Suriname Chartered Accountants Institute (SCAI) as the audit standard-setter for all companies. SCAI requires the application of NBA Netherlands’ translated version of ISA which are translated on an ongoing manner. Therefore, SCAI uses direct Dutch translations of ISA, ISRE, ISAE, and ISARS.

  • Regulation of Accountancy Profession

    The Suriname Chartered Accountants Institute (SCAI) is the main regulator of the accountancy profession. It was established through the Act on Annual Accounts of 2017 and membership in the institute is mandatory for all professional accountants seeking to work in public practice—chartered accountants and auditors.

    The Law on Accountancy of 2018 stipulates initial professional development (IPD) requirements and delegates authority to SCAI to establish continuing professional development (CPD) requirements. At this time, SCAI does not administer its own accounting education and certification program and therefore, relies on foreign institutions for prequalification training. Candidates for membership in SCAI must be members of the Association of Chartered Certified Accountants (ACCA), NBA Netherlands, or the American Institute of Certified Public Accountants (AICPA). These named professional accountancy organizations require aspiring members to complete a professional accountancy education program, a practical experience requirement, and pass final examinations that are developed in line with the revised 2015 IES.

    Individuals who are 18 years of age and who have passed Surinamese educational institutes’ theoretical and practical exams, may join SCAI by providing an application package complete with: (i) a description of professional training received; (ii) university diploma; (iii) professional diploma and statement of professional experience; (iv) a "declaration of good conduct" issued by a Surinamese district commissioner; and (v) a certificate of registration from the Central Bureau for Civil Affairs. To remain members in good standing, individuals are required to: (i) pay annual membership fees; (ii) complete 40 hours of verifiable CPD annually; (iii) pay CPD course fees; and (iv) provide proof that they do not have any disciplinary sanctions or criminal convictions.

    The Law on Accountancy of 2018 empowers SCAI with the mandate to: (i) maintain a registry of its members; (ii) issue audit and chartered accountant licenses; (iii) establish CPD requirements; (iv) adopt accounting and auditing standards; (v) establish ethical requirements; (vi) conduct an investigative and disciplinary (I&D) system with the Ministry of Justice; and (vii) develop and conduct a mandatory quality assurance (QA) review system.

    As of the date of the assessment SCAI has not yet operationalized its QA review system or I&D system. Nevertheless, all members of SCAI are currently required to be members of ACCA, NBA Netherlands, and AICPA, and are therefore subject to their respective QA review and I&D systems, IPD, and CPD requirements.

  • Audit Oversight Arrangements

    At present, there is no independent audit oversight agency in Suriname. Auditors in Suriname are regulated by the Suriname Chartered Accountants Institute (SCAI) which was established through the Act on Annual Accounts of 2017. Under the Law on Accountancy of 2018, membership in SCAI is mandatory for all professional accountants seeking to work in public practice—auditors and chartered accountants.

    The Law on Accountancy of 2018 empowers SCAI with the mandate to: (i) maintain a registry of its members; (ii) issue audit licenses; (iii) establish continuing professional development requirements; (iv) adopt auditing standards; (v) establish ethical requirements; (vi) conduct an investigative and disciplinary (I&D) system with the Ministry of Justice; and (vii) develop and conduct a mandatory quality assurance (QA) review system.

    As of the date of the assessment SCAI has not yet operationalized its QA review system or I&D system. Nevertheless, all members of SCAI are required to be members of the Association of Chartered Certified Accountants (ACCA), NBA Netherlands, or the American Institute of Certified Public Accountants (AICPA), and are therefore subject to their respective systems.

  • Professional Accountancy Organizations

    The Suriname Chartered Accountants Institute (SCAI)

    The institute was first operational in 2007 under the name Suriname Institute of Chartered Accountants (SUVA) and was renamed the Suriname Chartered Accountants Institute (SCAI) under the Law on Accountancy of 2018.

    The institute operates as a mandatory membership organization for all professional accountants seeking to work in public practice—auditors and chartered accountants. The Law on Accountancy of 2018 empowers SCAI with the mandate to: (i) maintain a registry of its members; (ii) issue audit and chartered accountant licenses; (iii) establish continuing professional development requirements; (iv) adopt accounting and auditing standards; (v) establish ethical requirements; (vi) conduct an investigative and disciplinary system with the Ministry of Justice; and (vii) develop and conduct a mandatory quality assurance review system.

    SCAI is an IFAC Associate and a full member of the Institute of Chartered Accountants of the Caribbean.

Adoption of International Standards

  • Quality Assurance

    The Law on Accountancy of 2018 delegates authority to the Suriname Chartered Accountants Institute (SCAI) to develop and conduct a mandatory quality assurance (QA) review system in the jurisdiction. It has signed an agreement with NBA Netherlands for support with implementation of a QA review system by 2020.

    As of the date of the assessment, SCAI has not yet operationalized its QA review system. However, in the meantime, all members of SCAI are required to be members of the Association of Chartered Certified Accountants (ACCA), NBA Netherlands, or the American Institute of Certified Public Accountants (AICPA) and be subject to their QA review systems which are in line with SMO 1 requirements.

    Current Status: Partially Adopted

  • International Education Standards

    The Law on Accountancy of 2018 stipulates initial professional development (IPD) requirements and delegates authority to SCAI to establish continuing professional development (CPD) requirements.

    All members of SCAI are required to be members of the Association of Chartered Certified Accountants (ACCA), NBA Netherlands, or the American Institute of Certified Public Accountants (AICPA) and be subject to their educational requirements. These named PAOs report that their IPD and CPD requirements are in line with the revised 2015 IES requirements.

    As needed, the SCAI Board imposes additional requirements with regard to examining a candidate’s knowledge of the Surinamese laws and regulations which includes an examination on tax and business law. In addition to the above, SCAI reports to have a system in place for recognizing other foreign qualifications.

    Individuals who are 18 years of age and who have passed SCAI’s theoretical and practical exams, may join SCAI by providing an application package complete with: (i) a description of professional training received; (ii) university diploma; (iii) professional diploma and statement of professional experience; (iv) a "declaration of good conduct" issued by a Surinamese district commissioner; and (v) a certificate of registration from the Central Bureau for Civil Affairs. To remain members in good standing, individuals are required to (i) pay annual membership fees; (ii) complete CPD requirements; (iii) pay CPD course fees; and (iv) provide proof that they do not have any disciplinary sanctions or criminal convictions.

    SCAI requires all members to complete 40 hours of verifiable CPD annually which is not in line with IES 7 requirements. Although some of the requirements of the 2015 revised IES requirements have been incorporated into the national requirements, further alignment is needed—specifically with regard to CPD.

    Current Status: Partially Adopted

  • International Standards on Auditing

    The Law on Accountancy of 2018 designates the Suriname Chartered Accountants Institute (SCAI) as the audit standard-setter for all companies. SCAI requires application of the NBA Netherlands’ Dutch translated version of ISA which are translated in an ongoing manner. Therefore, SCAI uses direct translations of ISA, ISRE, ISAE, and ISARS.

    Current Status: Adopted

  • Code of Ethics for Professional Accountants

    In accordance with the Law on Accountancy of 2018, the Suriname Chartered Accountants Institute (SCAI) is responsible for adopting ethical requirements for all professional accountants.

    SCAI, in compliance with the Law on Accountancy of 2018, has developed its own code of ethics based on the 2016 IESBA Code of Ethics.

    Furthermore, SCAI indicates that it has an ongoing process to consider and incorporate new and amended requirements issued by the IESBA such as the 2018 IESBA Code of Ethics (including International Independence Standards).

    Current Status: Adopted

  • International Public Sector Accounting Standards

    While the Ministry of Finance is responsible for the adoption of public sector accounting standards, a formal government plan for adoption of IPSAS has not yet been communicated externally.

    The Suriname Chartered Accountants Institute reports that as of the date of the assessment the government uses a cash basis form of accounting.

    Current Status: Not Adopted

  • Investigation and Discipline

    In accordance with the Law on Accountancy of 2018, the Suriname Chartered Accountants Institute (SCAI) is responsible for establishing an investigative and disciplinary (I&D) system with the Ministry of Justice for all professional accountants. SCAI is in the process of forming an I&D committee that will develop a strategy plan for implementation of the I&D system using SMO 6 requirements. Once the I&D committee is established, the I&D system’s date of operation will subsequently be determined.

    According to the Law on Accountancy of 2018, the Ministry of Justice determines the composition of the Disciplinary Board—which will consist of three (3) members; two of which are retired accountancy professionals that are members of SCAI with at least ten years’ of experience, and one that is a member of the Ministry of Justice. The law also stipulates that both SCAI and the Ministry of Justice will be responsible for establishing an Investigations Committee.

    In the meantime, all members of SCAI are required to be members of the Association of Chartered Certified Accountants (ACCA), NBA Netherlands, or the American Institute of Certified Public Accountants (AICPA) and be subject to their respective I&D systems which are in line with SMO 6 requirements.

    Current Status: Partially Adopted

  • International Financial Reporting Standards

    At present, there are no regulations that stipulate a specific accounting framework for companies to follow. The majority of companies in Suriname follow a form of Netherlands national accounting standards because of the historical relationship of Suriname and the Netherlands. Netherlands GAAP is published in Dutch, which is the national language of Suriname. The Central Bank of Suriname is responsible for prudential supervision of financial institutions, including banks, insurance companies, pension funds, and credit unions. However, neither the Bank Act nor regulations adopted by the Central Bank mandates the specific accounting standards to be followed by those financial institutions.

    Based on the Act of Annual Accounts of 2017, the following financial reporting requirements will be effective in 2020. All large corporations and public interest entities (PIEs) will be required to prepare financial reports in accordance with IFRS as issued by the International Accounting Standards Board (IASB). All medium sized entities will be required to apply IFRS for Small and Medium Sized Entities (SMEs) and will have until 2021 to transition to the IFRS for SMEs. All small entities will be required to apply Fiscal Accounting Policies (the fiscal valuation principles in accordance with the Suriname Income Tax Act of 1922).

    According to the Suriname Chartered Accountants Institute, IFRS for all large corporations and PIEs have already been implemented in the jurisdiction prior to the 2020 deadline. More information is needed to confirm the assertion.

    Current Status: Partially Adopted

Disclaimer

IFAC bears no responsibility for the information provided in the SMO Action Plans prepared by IFAC member organizations. Please see our full Disclaimer for additional information.

Methodology

Methodology
Last updated: 11/2019
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