Suriname

The Law on the Financial Statements (2017) came into effect on January 1, 2020 and 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.

The Central Bank of Suriname is responsible for prudential supervision of financial institutions, including banks, insurance companies, pension funds, and credit unions. In 2022, regulations supporting the Bank Act were adopted by the Central Bank which require IFRS for financial institutions (in line with the Law on the Financial Statements of 2017).

Based on the Law on the Financial Statements (2017), specific financial reporting requirements came into effect 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 are required to apply IFRS for small- and medium-sized enterprises (SMEs) and 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 Law on the Financial Statements (2017) 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, and since October 2018, ISA are adopted as issued by IAASB. As of the date of this assessment, the 2021 Handbook of International Quality Control, Auditing, Review, other Assurance, and Related Services Pronouncements is in effect.

The Suriname Chartered Accountants Institute (SCAI) is the main regulator of the accountancy profession. It was established through the Law on Accountancy of 2018 and membership in the institute is mandatory for all professional accountants seeking to work in public practice.

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

To enter the profession, candidates must (i) complete a degree in accounting offered by universities and higher education providers in Suriname; (ii) pass exams within a Chartered Accountant Program (offered by IFAC member organizations); and (iii) complete three-years of practical experience in the field.

To practice in Suriname, all professional accountants with a Chartered Accountant (CA) qualification must join SCAI and pass the local educational program before receiving a practicing license.

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.

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 system with the Ministry of Justice; and (vii) develop and conduct a mandatory quality assurance review system.

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 Law on the Financial Statements (2017). Please refer to the Regulation section for more information.

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.

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. The QA review system has been established, but not yet operational.

SCAI has signed an agreement with NBA Netherlands for support with implementation of the QA review system between 2022-2026. The overarching objective of the partnership is for SCAI to operate a well-functioning QA review system in line with SMO 1 requirements by 2026.

Current Status: Partially Adopted

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

To enter the profession, candidates must (i) complete a degree in accounting offered by universities and higher education providers in Suriname; (ii) pass exams within a Chartered Accountant Program (offered by IFAC member organizations); and (iii) complete three-years of practical experience in the field.

To practice in Suriname, all professional accountants with a Chartered Accountant (CA) qualification must join SCAI and pass the local educational program before receiving a practicing license.

To remain members in good standing, individuals are required to fulfill CPD requirements.

It remains unclear if all the Chartered Accountant Programs accepted by SCAI from other foreign/ overseas professional accountancy organizations are in line with 2019 revised IES requirements.

Current Status: Partially Adopted

The Law on Accountancy of 2018 designates the Suriname Chartered Accountants Institute (SCAI) as the audit standard-setter for all companies, and since October 2018, ISA are adopted as issued by IAASB. As of the date of this assessment, the 2023-2024 Handbook of International Quality Control, Auditing, Review, other Assurance, and Related Services Pronouncements is in effect.

Current Status: Adopted

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 reports that it has decided to adopt the IESBA Code of Ethics as issued by IESBA, which is currently the 2022 International Code of Ethics.

Current Status: Adopted

The Ministry of Finance is responsible for the adoption of public sector accounting standards.

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

SCAI reports that the government is considering adoption of IPSAS in the future, but a formal plan and timeline has not yet been published.

Current Status: Not Adopted

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 strategic 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. As of October 2022, the President of the Ministry of Justice nominated 2 persons from the Court to serve on the Disciplinary Board, while SCAI identified 2 accountants to serve on the Board. Follow-up on suggested amendments to the Law for alignment with SMO 6 are expected to take place with consultation of SCAI’s lawyer in 2023.

In the meantime, all members of SCAI are also members of foreign institutes (IFAC member organizations) and subject to their respective I&D systems.

Current Status: Partially Adopted

The Central Bank of Suriname is responsible for prudential supervision of financial institutions, including banks, insurance companies, pension funds, and credit unions. In 2022, regulations supporting the Bank Act were adopted by the Central Bank which require IFRS for financial institutions (in line with the Law on the Financial Statements of 2017).

Based on the Law on the Financial Statements (2017), financial reporting requirements came into effect in 2020 for all large corporations (defined by certain criteria), public interest entities (listed entities, banks, financial institutions, insurance companies, pension funds and stated owned entities), and small and medium sized companies (defined by certain criteria). 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.

All small- and medium-sized companies are required to apply IFRS for small- and medium-sized enterprises (SMEs) and had until 2021 to transition to the IFRS for SMEs.

Current Status: Adopted

Relevant Organizations

• Central Bank of Suriname
• Institute of Chartered Accountants of the Caribbean (ICAC)
• Nederlandse Beroepsorganisatie van Accountants (NBA)
• Suriname Chartered Accountants Institute (SCAI)

Relevant Legislation

• Law on Accountancy of 2018
• Law on Annual Accounts
• Law on Professions and Companies
• Bank and Credit System Supervision Act 2011
• Capital Markets Law 2014
• SCAI Adminsitrative Regulations / Huishoudelijk Reglement SCAI

Relevant Publications

• BDO Suriname, Publication of the Annual Accounts, October 2017.
• Deloitte, IAS Plus: Suriname.
• International Monetary Fund (IMF), Suriname: Article IV Report, October 2014.
• Kenswil & Co. Tax and Legal Services, Surinamese Parliament approves Act on Financial Reporting, December 2017.
• SCAI, SMO Action Plan, 2023.
• United States Department of State, Bureau of Economic and Business Affairs: 2018 Investment Climate Statements Report, July 2018.
• World Bank, Suriname Report on the Observance of Standards and Codes (ROSC): Accounting and Auditing, May 2012.