Eswatini

In eSwatini, the legal and regulatory framework for corporate financial reporting and auditing is primarily established by the Companies Act of 2009. The Act sets out requirements for the preparation of financial statements, applicable accounting frameworks, and statutory audit obligations.

The Companies Act of 2009 requires listed companies, public companies, banking institutions, non-banking financial institutions, insurance companies, and retirement funds to prepare financial statements in accordance with International Financial Reporting Standards (IFRS). Other entities are not subject to a mandatory financial reporting framework under the Act. Small- and medium-sized entities (SMEs), defined as companies with no more than five shareholders, share capital not exceeding E50,000, and no public market activity, are not required to publish financial statements. Where financial statements are prepared voluntarily, entities may apply full IFRS. The eSwatini Institute of Accountants (EIA) has also approved the IFRS for Small and Medium-sized Entities (IFRS for SMEs) as a permissible framework.

Statutory audit requirements are established under the Companies Act of 2009, which requires all companies to undergo an annual audit. Audits are required to be conducted in accordance with International Standards on Auditing (ISA) as adopted by the EIA. The Act specifies that audits must be performed by auditors registered with the EIA and qualified in accordance with the Accountants Act of 1985.

There is a differential reporting framework in the jurisdiction based on entity type and public interest considerations. Public interest entities are required to apply full IFRS, while other entities may apply IFRS or IFRS for SMEs on a voluntary basis. SMEs that meet the exemption criteria are not required to prepare or publish financial statements.

The accountancy profession in eSwatini is regulated under the Accountants Act of 1985, which establishes the eSwatini Institute of Accountants (EIA) as the national professional accountancy organization with responsibility for regulating professional accountants and auditors in the jurisdiction. Membership in the EIA is mandatory for individuals providing accountancy services.

The EIA operates as the primary regulatory authority for the profession and has direct responsibility for establishing and enforcing professional requirements. Its mandate includes setting auditing and accounting standards, establishing ethical requirements, determining initial and continuing professional development obligations, maintaining a registry of members, and operating quality assurance and investigation and disciplinary systems.

Entry into the profession is regulated by the EIA through requirements for academic qualifications, professional examinations, and practical experience. The institute does not offer a domestic professional qualification and instead recognizes qualifications obtained through accredited universities and international professional accountancy organizations. As a result, the profession is largely composed of individuals qualified through foreign certification pathways.

Professional designations in the jurisdiction include Registered Accountant and Chartered Accountant. The Chartered Accountant designation is required to perform statutory audits. Individuals seeking to practice as auditors must obtain an Audit Practicing Certificate issued by the EIA, which requires completion of additional local requirements, including an examination on taxation and business legislation.

There is no independent public oversight authority for the audit profession in eSwatini. Regulatory, supervisory, and disciplinary functions are exercised by the EIA within the framework established by the Accountants Act of 1985.

There is no independent public audit oversight authority in eSwatini. Oversight of auditors and audit firms is exercised by the eSwatini Institute of Accountants (EIA) under the framework established by the Accountants Act of 1985.

The EIA is responsible for the regulation, supervision, and discipline of auditors, including the administration of quality assurance reviews and investigation and disciplinary procedures. In the absence of an independent oversight body, these functions are carried out within a self-regulatory framework.

This structure reflects a regulatory model in which the professional accountancy organization has direct responsibility for audit oversight activities, without a separate public interest oversight authority.

eSwatini Institute of Accountants (EIA)

The Accountants Act of 1985 establishes the eSwatini Institute of Accountants (EIA) as the national professional accountancy organization with regulatory responsibility for professional accountants and auditors in eSwatini. Membership in the EIA is mandatory for individuals providing accountancy services.

The EIA confers the Registered Accountant and Chartered Accountant designations and regulates access to public practice. The institute’s online membership portal confirms application pathways for Registered Accountant, Chartered Accountant, and Practising Chartered Accountant registration.

The EIA does not offer a domestic professional qualification and instead recognizes academic and professional qualifications obtained through approved universities and foreign professional accountancy organizations. Individuals seeking an Audit Practicing Certificate must hold the Chartered Accountant designation and complete the EIA conversion examination covering eSwatini taxation and business legislation.

Under the Accountants Act of 1985, the EIA’s mandate includes setting auditing standards, promulgating applicable accounting standards, establishing ethical requirements, setting initial and continuing professional development requirements, maintaining a registry of registered and practicing members, operating quality assurance and investigation and disciplinary systems, and advising government on legislation relevant to the profession.

The Accountants Act of 1985 establishes mandatory quality assurance reviews for all statutory audits in eSwatini and assigns responsibility to the eSwatini Institute of Accountants (EIA) to establish and operate the system. The EIA implements the quality assurance review system through external arrangements, including contracting the Zambia Institute of Chartered Accountants (ZICA) to conduct audit practice reviews of registered audit firms.

The quality assurance system is operational and covers all auditors performing statutory audits. Reviews assess compliance with applicable auditing, ethical, and quality management standards. The framework is aligned with the main requirements of SMO 1.

International Standard on Quality Management 1 and International Standard on Quality Management 2 are understood to be applied as part of the quality assurance framework

Current Status: Adopted

The Accountants Act of 1985 assigns responsibility to the eSwatini Institute of Accountants (EIA) for establishing initial professional development and continuing professional development requirements for professional accountants.

The EIA regulates entry into the profession through requirements for academic qualifications, professional examinations, and practical experience. The institute does not offer a domestic professional qualification and instead recognizes qualifications obtained through accredited universities and international professional accountancy organizations. Qualification pathways incorporate structured education, practical experience, and final assessments consistent with internationally recognized standards.

The EIA requires members to complete continuing professional development of 120 hours over a three-year period.

The framework incorporates the main components of International Education Standards, including entry requirements, education, practical experience, assessment, and continuing professional development, and is aligned with the requirements of SMO 2.

Current Status: Adopted

The Companies Act of 2009 requires audits to be conducted in accordance with International Standards on Auditing (ISA) and auditing guidelines adopted by the eSwatini Institute of Accountants (EIA). The EIA states that its Technical Committee has adopted ISA as issued by the International Auditing and Assurance Standards Board, without modification, for application in all audits.

The EIA Council reviews new and amended standards on a monthly basis, indicating an ongoing process to adopt ISA as issued and effective.

Current Status: Adopted

Ethical requirements for professional accountants in eSwatini are established under the Accountants Act of 1985 and by the eSwatini Institute of Accountants (EIA), which is responsible for setting and enforcing ethical standards for its members.

The EIA has adopted the International Code of Ethics for Professional Accountants (including International Independence Standards) issued by the International Ethics Standards Board for Accountants. Available information indicates that the EIA has adopted the 2018 International Code of Ethics and related revisions; however, there is no publicly available confirmation that the latest version of the Code as issued is fully adopted and effective.

Current Status: Partially Adopted

The Public Finance Management Act of 2017 defines accounting standards by reference to International Public Sector Accounting Standards (IPSAS), as adopted for use by the Accountant General.

The Ministry of Finance indicates that the Treasury Department is transitioning to accrual-basis IPSAS, including work to align the Chart of Accounts with IPSAS and Government Finance Statistics 2014. However, available information indicates that implementation remains in progress and accrual-basis IPSAS have not yet been fully applied across the public sector.

Current Status: Not Adopted

The Accountants Act of 1985 assigns the eSwatini Institute of Accountants (EIA) responsibility for establishing investigation and disciplinary procedures for professional accountants. The Act provides for a Disciplinary Committee to inquire into charges, complaints, or allegations of unprofessional conduct and to report its findings and recommendations to the EIA Council, which issues the final decision.

The disciplinary framework provides for sanctions and a right of appeal to the High Court. The EIA also publishes information on suspended members, indicating that the system is operational.

The jurisdiction-level framework is aligned with the main requirements of SMO 6.

Current Status: Adopted

The Companies Act of 2009 requires listed companies, public companies, banking institutions, non-banking financial institutions, insurance companies, and retirement funds to prepare financial statements in accordance with International Financial Reporting Standards (IFRS).

IFRS are required for public interest entities and are applied as issued without modification. Other entities may apply IFRS on a voluntary basis.

The IFRS for Small and Medium-sized Entities Standard is permitted for use in the jurisdiction.

Current Status: Adopted

Relevant Organizations

Accountant General, Ministry of Finance, eSwatini

eSwatini Institute of Accountants (EIA)

Parliament of the Kingdom of eSwatini

Relevant Legislation

Accountants Act of 1985 (as amended)

Companies Act of 2009

Public Finance Management Act of 2017

Relevant Publications

IFRS Foundation Jurisdiction Profile – eSwatini

Ministry of Finance Annual Report 2025