Lebanese Association of Certified Public Accountants

LACPA is responsible for implementing a quality assurance (QA) review system for its members conducting audits under Law No. 364 of 1994 and its internal bylaws. In 2013, LACPA amended its bylaws to establish a mandatory QA review system and related peer review arrangements.

LACPA reports that the QA system is being operationalized through the Quality Control Supervisory Commission and related technical committee. LACPA has undertaken awareness initiatives and implementation support activities related to International Standard on Quality Management (ISQM) 1, ISQM 2, and ISA 220 (Revised), and has developed QA procedures and monitoring mechanisms for member firms.

LACPA also supports implementation through continuing professional development activities, guidance materials, and dissemination of Arabic-language resources. IFAC’s translations database confirms that Arabic translations of the 2025 Handbook of International Quality Management, Auditing, Review, Other Assurance, and Related Services Pronouncements are available.

LACPA is encouraged to continue operationalizing the QA review system, complete the planned review cycle, document review outcomes, and use findings to provide targeted implementation support to firms, particularly small and medium-sized practices and sole practitioners.

Current Status: Execute

LACPA is responsible for establishing initial and continuing professional development requirements for Certified Public Accountants (CPAs) under Law No. 364 of 1994 and its internal bylaws.

LACPA establishes continuing professional development (CPD) requirements for its members and supports implementation of the International Education Standards (IES) through professional examinations, CPD activities, technical events, and awareness initiatives for members and stakeholders. LACPA also reports ongoing collaboration with universities, regulators, and international stakeholders to support alignment of professional education and training requirements with international standards.

In 2024, LACPA conducted a gap analysis against the 2019 International Education Standards to support ongoing alignment activities. IFAC’s translations database confirms that Arabic translations of the 2019 Handbook of International Education Standards are available.

Based on available information, LACPA continues demonstrating sustained implementation support activities related to professional education and development. Accordingly, LACPA’s fulfillment of SMO 2 is assessed as Sustain.

Current Status: Sustain

Under Law No. 364 of 1994, the Lebanese Association of Certified Public Accountants (LACPA) proposes auditing standards to the Ministry of Finance (MoF), which adopts applicable auditing standards in the jurisdiction. Since International Standards on Auditing (ISA) are adopted as issued by the International Auditing and Assurance Standards Board, LACPA’s primary role is focused on implementation support and awareness activities for members.

LACPA continues to support implementation of new and revised standards through continuing professional development programs, seminars, technical workshops, publications, and electronic communications to members. Recent activities have focused on implementation of International Standard on Quality Management (ISQM) 1, ISQM 2, and ISA 220 (Revised), including targeted support for small and medium-sized practices and sole practitioners.

LACPA also continues engaging with regulators and stakeholders to support effective implementation of international auditing and quality management standards within the jurisdiction. These sustained implementation, training, and awareness activities demonstrate continued fulfillment of SMO 3 requirements. Accordingly, SMO 3 fulfillment is assessed as Sustain.

Current Status: Sustain

Law No. 364 of 1994 authorizes the Lebanese Association of Certified Public Accountants (LACPA) to establish ethical requirements for Certified Public Accountants, subject to approval by the Ministry of Finance (MoF). Following sustained advocacy by LACPA, Ministerial Decree No. 152/1 was signed by the MoF on February 6, 2025, adopting the International Code of Ethics for Professional Accountants (including International Independence Standards) as issued by the International Ethics Standards Board for Accountants.

LACPA supported the adoption process through engagement with the IESBA and relevant national stakeholders. It has also disseminated available Arabic translations of the Code to members and has undertaken awareness-raising activities to support implementation of the newly adopted ethical requirements. The 2025 IESBA Handbook is the current edition of the Code, and the IESBA Code landing page provides access to the current and prior editions.

LACPA continues to support members through continuing professional development, ethics education, technical updates, and planned training on new and revised provisions of the Code. The adoption of the Code, combined with sustained member support and implementation activities, demonstrates ongoing fulfillment of SMO 4 requirements. Accordingly, SMO 4 fulfillment is assessed as Sustain.

Current Status: Sustain

The Lebanese Association of Certified Public Accountants (LACPA) has no direct responsibility for adopting public sector accounting standards, which fall under the authority of the Ministry of Finance (MoF). LACPA uses its best endeavors to advocate for adoption and implementation of International Public Sector Accounting Standards (IPSAS) in Lebanon.

LACPA continues to support IPSAS awareness and capacity building through technical events, seminars, educational materials, and engagement with government officials and relevant stakeholders. In 2025, LACPA hosted the IPSAS Congress in Beirut under the patronage of the Minister of Finance and in collaboration with representatives of the International Public Sector Accounting Standards Board (IPSASB), including training and awareness activities related to IPSAS foundations and public sector financial reporting reforms.

LACPA has also facilitated dialogue between IPSASB representatives and Ministry of Finance reform advisors regarding potential future implementation initiatives and reports ongoing support for a phased approach to public sector accounting reform, beginning with cash-basis IPSAS and progressing toward accrual-basis IPSAS. LACPA continues supporting members and stakeholders through technical guidance, awareness initiatives, and training activities related to public sector financial reporting developments.

LACPA demonstrates sustained best-endeavors activities to promote IPSAS adoption and implementation in a jurisdiction where it has no direct authority. Accordingly, SMO 5 fulfillment is assessed as Sustain.

Current Status: Sustain

Law No. 364 of 1994 and the internal bylaws of the Lebanese Association of Certified Public Accountants (LACPA) establish the investigative and disciplinary (I&D) system for Certified Public Accountants. Since all CPAs must be licensed and registered members of LACPA, the system applies to all professional accountants authorized to practice public accountancy in Lebanon. LACPA’s bylaws outline member obligations and disciplinary procedures, subject to the applicable legal framework.

LACPA has continued to support implementation of the I&D framework through awareness activities, compliance training, member communications, and initiatives to clarify professional conduct obligations. It has also reported plans to strengthen transparency and administration of the system through improved complaint channels, case monitoring, record-keeping, member guidance, and reporting on complaints and disciplinary outcomes.

LACPA has made progress in aligning its bylaws and procedures with SMO 6 requirements where it has authority to do so. However, remaining gaps related to committee composition, tracking mechanisms, record-keeping, public interest communication, and other administrative processes continue to require monitoring and, where necessary, legal or regulatory action. Accordingly, SMO 6 fulfillment remains assessed as Review & Improve.

LACPA is encouraged to continue implementing its planned improvements, document I&D outcomes, strengthen transparency around procedures and results, and work with the Ministry of Finance to address remaining legal or regulatory gaps affecting full alignment with SMO 6.

Current Status: Review & Improve

The Ministry of Finance (MoF) is responsible for adopting financial reporting standards in Lebanon. Ministerial Decisions No. 6258 of 1996 and No. 673/1 of 2001 require most companies to prepare financial statements in accordance with International Financial Reporting Standards (IFRS), with the applicable standards published in the Official Gazette. Banks are also required to comply with IFRS, including IFRS 9 requirements.

The Lebanese Association of Certified Public Accountants (LACPA) focuses on supporting members with implementation of IFRS and related developments. LACPA continues to provide continuing professional development activities, technical workshops, publications, guidance materials, and member communications on new and revised IFRS, including training related to IFRS updates and IFRS for Small and Medium-sized Entities.

LACPA also supports implementation through awareness initiatives, dissemination of Arabic-language materials, and engagement with regulators, universities, and other stakeholders. In addition, LACPA has begun organizing training and awareness activities related to sustainability reporting and sustainability-related developments.

LACPA has sustained its implementation support activities despite the challenging economic and financial reporting environment in Lebanon. Its ongoing training, technical updates, stakeholder engagement, and awareness activities demonstrate continued fulfillment of SMO 7 requirements. Accordingly, SMO 7 fulfillment is assessed as Sustain.

Current Status: Sustain