Ukraine

The corporate financial reporting framework in Ukraine is governed by the Law on Accounting and Financial Reporting in Ukraine of 1999 (as amended), the Law on Audit of Financial Statements and Auditing Activity of 2017, the Law on Joint Stock Companies, and sector-specific legislation applicable to financial institutions, capital market participants, and other regulated entities. Ukraine continues to align its corporate reporting framework with European Union requirements as part of its broader regulatory reform agenda.

Accounting requirements

The Law on Accounting and Financial Reporting in Ukraine authorizes the Ministry of Finance of Ukraine (MoF) to regulate accounting and financial reporting and to publish official translations of International Financial Reporting Standards (IFRS Accounting Standards). IFRS Accounting Standards are required for public interest entities, public joint-stock companies, entities engaged in extractive activities, large enterprises, and certain other entities designated by law. Other entities apply National Accounting Standards (NAS) or, where permitted, IFRS for Small and Medium-sized Entities. The NAS are based on IFRS Accounting Standards but are not fully converged with the international standards.

The MoF has continued updating official Ukrainian translations of IFRS Accounting Standards and, as of 2025, has published translations incorporating recent IASB pronouncements, including IFRS 18 and IFRS 19. However, the jurisdiction has not yet adopted the latest version of IFRS Accounting Standards in effect at the time of assessment.

Auditing requirements

The Law on Audit of Financial Statements and Auditing Activity of 2017 establishes statutory audit requirements for public interest entities, large enterprises, and medium-sized enterprises. The law regulates audit activities, defines the responsibilities of auditors and audit firms, and requires the application of International Standards on Auditing (ISA) and other pronouncements issued by the International Auditing and Assurance Standards Board (IAASB), as translated into Ukrainian and published by the MoF.

Recent translation activity indicates ongoing efforts by the MoF to update IAASB pronouncements, including translations of revised and newly issued standards. Nevertheless, currently available public information does not indicate that the latest suite of ISA effective at the time of assessment has been fully adopted and made effective in the jurisdiction.

Statutory auditors and chief accountants of certain public interest and regulated entities are the primary segments of the accountancy profession in Ukraine that are regulated at the state level. Other accountancy professionals are not subject to state regulation but may voluntarily join professional accountancy organizations and become subject to their membership requirements.

Auditors

The Law on Audit of Financial Statements and Auditing Activity establishes the legal framework for the audit profession, including auditor certification, registration, continuing professional development, quality assurance, investigation and discipline, and public oversight. The Audit Public Oversight Body is responsible for public oversight of auditors and audit firms, including oversight of the register, certification, continuing professional development, quality assurance, and disciplinary proceedings.

Entry into the audit profession requires completion of auditor certification, including examinations, practical experience of at least three years in an audit entity, and recognition by the Attestation Commission. The Attestation Commission organizes the examination process, approves examination programs and results, considers appeals, and develops regulations related to certification, practical experience, and continuing professional development, subject to approval by the Audit Public Oversight Body and the Ministry of Finance of Ukraine.

All auditors and audit firms must be included in the Register of Auditors and Audit Entities. Professional self-regulation of auditors is carried out through the Auditors Chamber of Ukraine, a non-profit legal entity established by law. Membership in AChU is mandatory for auditors and audit firms included in the register. Under the oversight of the Audit Public Oversight Body, AChU performs delegated functions, including registration of auditors and audit entities, supervision of continuing professional development for auditors of non-public interest entities, quality assurance reviews for statutory audits of non-public interest entities, and disciplinary proceedings within its delegated authority.

Chief Accountants

The Law on Accounting and Financial Reporting in Ukraine establishes requirements for chief accountants of public interest entities. Public interest entities are required to maintain an accounting function headed by a chief accountant, and the chief accountant must hold a degree in economics and have at least three years of relevant experience.

Additional requirements apply to chief accountants of professional securities market participants under regulations issued by the National Securities and Stock Market Commission. The Commission is the state authority responsible for regulating the securities market and has approved professional requirements for chief accountants of such entities.

Other Accountancy Professionals

Professional accountants other than statutory auditors and chief accountants of specified public interest or regulated entities are not subject to state regulation. They may voluntarily join professional accountancy organizations and become subject to the organization’s education, ethical, continuing professional development, quality assurance, and disciplinary requirements.

An independent audit oversight authority has been established in Ukraine. Under the Law on Audit of Financial Statements and Auditing Activity, all auditors and audit entities are subject to public oversight by the Audit Public Oversight Body of Ukraine (APOB).

APOB is responsible for oversight of the registration of auditors and audit entities, implementation of International Standards on Auditing, auditor certification and continuing professional development, quality assurance inspections, and investigative and disciplinary proceedings. APOB comprises the Supervisory Board of Audit Activities and the Quality Assurance Inspection.

The Auditors Chamber of Ukraine (AChU) operates under APOB oversight and performs delegated functions for auditors and audit entities that conduct statutory audits of non-public interest entities, including registration, continuing professional development supervision, quality assurance reviews, and disciplinary proceedings within its statutory mandate.

APOB is a member of the International Forum of Independent Audit Regulators.

Several professional accountancy organizations operate in Ukraine. The IFAC member and associate organizations are listed below.

The Auditors Chamber of Ukraine (AChU)

AchU is a professional self-regulatory organization for auditors and audit firms established by law. Membership in AChU is mandatory for auditors and audit firms included in the Register of Auditors and Audit Entities. Under the public oversight of the Audit Public Oversight Body, AChU carries out delegated responsibilities related to auditor and audit firm registration, continuing professional development for auditors of non-public interest entities, quality assurance reviews of statutory audits of non-public interest entities, and disciplinary proceedings within its statutory mandate. AChU became an IFAC Associate in 2022.

Ukrainian Federation of Professional Accountants and Auditors (UFPAA)

UFPAA is a non-governmental, self-regulatory organization with voluntary membership, established in 1996. UFPAA represents accountants and auditors and supports the reform and development of accounting and auditing in Ukraine in line with international standards. UFPAA offers voluntary certification programs for accountants and is a member of IFAC, the Eurasian Council of Certified Accountants and Auditors, and the Fédération Internationale des Experts-Comptables Francophones.

The Law of Ukraine "On Audit of Financial Statements and Auditing Activity" No. 2258-VIII of 21 December 2017 establishes a mandatory quality assurance review system for audit entities that conduct statutory audits in Ukraine.

Audit entities that conduct statutory audits of public interest entities are subject to inspections at least every three years by the Quality Assurance Inspection of the Audit Public Oversight Body of Ukraine. Audit entities that conduct statutory audits of non-public interest entities are subject to inspections at least every six years by the Auditors Chamber of Ukraine under the oversight of the Audit Public Oversight Body. Quality assurance reviews assess compliance with applicable auditing, ethical, and quality management requirements and may result in recommendations, remedial actions, or disciplinary measures where deficiencies are identified.

The quality assurance review system is established and operational for all statutory audits and is aligned with the relevant requirements of SMO 1.

Current Status: Adopted

Initial professional development and continuing professional development requirements for auditors are established under the Law of Ukraine On Audit of Financial Statements and Auditing Activity No. 2258-VIII of 21 December 2017. Entry into the audit profession requires a university degree, successful completion of the auditor certification examination, and at least three years of practical experience in audit. Certification is overseen by the Attestation Commission, with related regulations approved by the Audit Public Oversight Body and the Ministry of Finance of Ukraine.

All auditors are subject to continuing professional development requirements. The legal framework provides for continuing professional development to be delivered by approved providers, including professional accountancy organizations and audit firms whose programs are recognized by an IFAC member organization.

Requirements for chief accountants of public interest entities are established under the Law on Accounting and Financial Reporting in Ukraine and include a degree in economics, at least three years of relevant professional experience, and no criminal record. Additional certification and experience requirements apply to chief accountants of certain regulated entities. However, no comprehensive final assessment or continuing professional development requirements are established by law for all professional accountants.

The jurisdiction-level framework incorporates initial professional development and continuing professional development requirements for auditors and certain chief accountants, but does not demonstrate full alignment with the current International Education Standards across all aspiring and professional accountants.

Current Status: Partially Adopted

The Law of Ukraine On Audit of Financial Statements and Auditing Activity No. 2258-VIII of 21 December 2017 requires statutory audits to be conducted in accordance with International Standards on Auditing and other pronouncements issued by the International Auditing and Assurance Standards Board, as translated into Ukrainian and made publicly available by the Ministry of Finance of Ukraine.

The IFAC Translations Database indicates that the 2020 Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements was translated into Ukrainian by the Ministry of Finance of Ukraine and completed in March 2024. Ukraine has also translated International Standard on Auditing 600 (Revised), indicating ongoing efforts to update the national auditing framework.

However, currently available public information does not indicate that the full suite of International Standards on Auditing effective at the time of assessment has been translated, adopted, and made effective for all mandatory audits.

The International Standard on Auditing for Audits of Financial Statements of Less Complex Entities is listed by IFAC/IAASB as under translation into Ukrainian by the Ministry of Finance of Ukraine, with the status marked as in progress; public evidence was not identified to support that it has been adopted.

Current Status: Partially Adopted

The Law on Audit of Financial Statements and Auditing No. 2258-VIII of 2017 requires auditors and audit firms to comply with the International Code of Ethics for Professional Accountants, including International Independence Standards, as translated into Ukrainian and published by the Ministry of Finance of Ukraine.

The Ministry of Finance of Ukraine has published the Ukrainian translation of the 2022 International Code of Ethics for Professional Accountants, including International Independence Standards.

Accountancy professionals other than auditors are not regulated at the state level but may voluntarily join a professional accountancy organization and become subject to its ethical requirements. However, publicly available information does not demonstrate that the current Code has been adopted and made applicable to all professional accountants in the jurisdiction.

Current Status: Partially Adopted

The Law of Ukraine "On Accounting and Financial Reporting in Ukraine" No. 996-XIV of 16 July 1999 authorizes the Ministry of Finance of Ukraine to establish accounting standards for the public sector. Pursuant to this authority, the Ministry has issued National Public Sector Accounting Standards for application by public sector entities.

According to the World Bank Public Sector Accounting Assessment (PULSE) for Ukraine, public sector entities apply accrual-basis National Public Sector Accounting Standards for the preparation of financial statements, while budget execution reporting continues to be prepared on a cash basis. The national standards are based on International Public Sector Accounting Standards and have been progressively modernized as part of Ukraine’s public financial management reform agenda and the Strategy for the Modernization of the Accounting and Financial Reporting System in the Public Sector through 2025.

IPSAS in their entirety have not been adopted for application by all public sector entities and therefore assessed as Partially Adopted.

Current Status: Partially Adopted

The Law of Ukraine "On Audit of Financial Statements and Auditing Activity" No. 2258-VIII of 21 December 2017 establishes the legal framework for the investigation and discipline of auditors and audit entities.

The Audit Public Oversight Body of Ukraine is responsible for investigative and disciplinary proceedings involving auditors and audit entities that conduct statutory audits of public interest entities. The Auditors Chamber of Ukraine, under the oversight of the Audit Public Oversight Body, is responsible for investigation and discipline of auditors and audit entities that conduct statutory audits of non-public interest entities.

The framework provides for disciplinary proceedings, sanctions, and links with quality assurance inspection findings. However, publicly available information does not demonstrate full alignment with all SMO 6 requirements across all professional accountants, including non-auditor professional accountants who are not regulated at the state level and may only be subject to professional accountancy organization disciplinary arrangements on a voluntary basis.

Current Status: Partially Adopted

The Law of Ukraine "On Accounting and Financial Reporting in Ukraine" No. 996-XIV of 16 July 1999 authorizes the Ministry of Finance of Ukraine to establish accounting and financial reporting requirements and requires International Financial Reporting Standards for specified entities.

IFRS Accounting Standards are required for public interest entities, public joint-stock companies, entities engaged in extractive activities, large enterprises, and other entities designated by the Government. Other entities apply National Accounting Standards or, where permitted, IFRS Accounting Standards or IFRS for Small and Medium-sized Entities.

The Ministry of Finance translates IFRS Accounting Standards into Ukrainian and publishes the official translations on its website. The Ministry has published Ukrainian translations of IFRS Accounting Standards for 2025, including IFRS 18 and IFRS 19. The IFRS Foundation jurisdiction profile states that IFRS Accounting Standards are incorporated into Ukrainian law and are required for the relevant categories of entities, with no modifications to the standards. Accordingly, IFRS Accounting Standards are assessed as Adopted.

IFRS for Small and Medium-sized Entities has been translated into Ukrainian and may be applied by eligible entities; however, its use is permitted rather than required.

Current Status: Adopted

Relevant Organizations

• Audit Public Oversight Body of Ukraine (APOB)
• Audit Chamber of Ukraine (in Ukrainian)
• Ministry of Finance
• National Securities and Stock Market Commission of Ukraine
• Ukrainian Federation of Professional Accountants and Auditors (UFPAA)

Relevant Legislation

• Law on Audit of Financial Statements and Auditing No. 2258-VIII, 2017
• Law on Accounting and Financial Reporting in Ukraine, 1999 (as amended in 2020)
• Law on Joint Stock Companies, 2008
• Law of Ukraine on Financial Services and State Regulation of Financial Service Markets
• NSCMC Regulation On Approval of Procedures on Education and Final Assessment on the Securities Market Specialists in Ukraine No. 215, 1996
• NSCMC Regulation on Defining the Professional Requirements for the Chief Accountants of the Professional Participants of the Securities Market No. 793,” 2013

Relevant Publications

• IFIAR, Member Profile: APOB, 2025.
• IFRS Foundation, “IFRS Application Around the World?Jurisdictional Profile: Ukraine,” July 2022.
• Ministry of Finance of Ukraine, International Code of Ethics for Professional Accountants (including International Independence Standards)
• Ministry of Finance of Ukraine, Translation of IFRS Accounting Standards 2022
• UFPAA, SMO Action Plan, 2020.
• World Bank, Report on the Observance of Standards and Codes (ROSC): Accounting and Auditing—Ukraine, 2008.
• World Bank/CFRR, National Education Initiatives – Ukraine (2019)
• World Bank/CFRR, PULSE Ukraine Report, 2024