Browse Profiles > Cameroon > International Financial Reporting Standards
  Score Rank
Standards Compliance Index 6.67 out of 100 79
Business Indicator Index 4.15 out of 12 76
Cameroon

International Financial Reporting Standards

Summary
According to a December 2006 Institute of Chartered Accountants of Cameroon (ONECCA) self-assessment, all companies in Cameroon except for banks and credit institutions must comply with the Organization for the Harmonization of African Business Law (OHADA) accounting framework. Banks and credit institutions adhere to standards issued by the Central African Banking Commission (COBAC). In the self-assessment, the ONECCA noted that it encourages its members to use International Financial Reporting Standards (IFRSs) and is working towards increasing awareness and support for adoption of IFRSs by organizing seminars, press conferences and discussions with relevant authorities regarding convergence of national requirements with IFRSs. Cameroon is a member of the Central African Economic and Monetary Community (CEMAC) and as such has to comply with the CEMAC legal framework. According to a 2006 International Monetary Fund (IMF) report on CEMAC, the OHADA accounting requirements are excessively burdensome for Small and Medium-size Enterprises. The IMF recommended strengthening the accounting framework for large companies and making it more consistent with the IFRSs. There is however no further publicly available information on the Cameroon's compliance with IFRSs.

    General Overview

    According to the December 2006 self-assessment by the Institute of Chartered Accountants of Cameroon (ONECCA), all companies in Cameroon, except for banks and credit institutions, must comply with the accounting framework of the Organization for the Harmonization of African Business Law (OHADA). Banks and credit institutions adhere to "Plan Comptable Des Etablissements De Credit" issued by the Central African Banking Commission (Commission D'Afrique Centrale, or COBAC). COBAC also regulates the non-banking financial institutions. The treaty to set up OHADA was signed in 1993 and the organization's main purpose was to bring about harmonization of business law, greater regional integration, and economic growth in sub-Saharan African countries. As a result, the OHADA issued standards - "Droit Comptable Et Systeme Comptable" -- which are applicable in Cameroon. The ONECCA self-assessment noted that these accounting standards are established by law governed by the Uniform Act on Accountancy (Acte uniforme sur le droit comptable).
    At the time of the self-assessment, the ONECCA was working towards increasing awareness and support for the adoption of International Financial Reporting Standards (IFRSs) by organizing seminars, press conferences and discussions with relevant authorities regarding convergence of national requirements with the international best practices. As of December 2006, ONECCA was in the process of publishing a book detailing the differences between OHADA standards and IFRSs. ONECCA reported that it encouraged the use of IFRSs by its members, and sought to educate them in the need to adopt the International Accounting Standards (IASs) and IFRSs, but added that "we have not enough power to succeed alone in this evolution" (p. 84). A 2006 International Monetary Fund (IMF) report on Central African Economic and Monetary Community (Communauté Economique et Monétaire de Afrique Centrale, or CEMAC) noted that the OHADA accounting framework is excessively burdensome for small and medium-size enterprises. The IMF recommended strengthening the accounting framework for large companies and making it more consistent with IFRSs.
    The January 2006 ONECCA self-assessment noted that the securities market regulator is the Commission of Financial Markets. In the December self-assessment the ONECCA pointed out that the Douala Stock Exchange of Cameroon had just been set up and was not operational at the time of the assessment. The 2006 IMF report on CEMAC explained that "despite the official inauguration of the DSX in 2003, this national market has not started trading yet, although the structures, mechanisms, and systems are ready to operate" (p. 23). The insurance market is regulated by the Inter-African Conference on Insurance Markets.
    ONECCA is the main accountancy body in Cameroon and assists in developing exposure drafts for the OHADA standards. It also develops interpretations and clarifications for the above-mentioned standards. The ONECCA ethical requirements are based on the International Federation of Chartered Accountants (IFAC) code of 2001 and the code of ethics of the French Institute of Chartered Accountants. ONECCA is listed as a member on the IFAC website. It is also a member of the Fédération Internationale des Experts Comptables Francophones, Association of Accountancy Bodies in West Africa, and Fédération des réviseurs et experts comptables d'Afrique Centrale.


    The Principles

    IFRS 1: First-time Adoption of International Financial Reporting Standards (effective 2006)

    There is insufficient publicly available information that directly addresses this principle.

    IFRS 2: Share-based Payment (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IFRS 3: Business Combinations (effective 2004)

    There is insufficient publicly available information that directly addresses this principle.

    IFRS 4: Insurance Contracts (effective 2006)

    There is insufficient publicly available information that directly addresses this principle.

    IFRS 5: Non-current Assets Held for Sale and Discontinued Operations (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IFRS 6: Exploration for and Evaluation of Mineral Resources (effective 2006)

    There is insufficient publicly available information that directly addresses this principle.

    IFRS 7: Financial Instruments: Disclosures (effective 2007)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 1: Presentation of Financial Statements (effective 2007)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 2: Inventories (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 7: Cash Flow Statements (effective 1994)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 8: Accounting Policies, Changes in Accounting Estimates and Errors (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 10: Events after the Reporting Period (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 11: Construction Contracts (effective 1995)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 12: Income Taxes (effective 2001)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 14: Segment Reporting (effective 1998)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 16: Property, Plant and Equipment (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 17: Leases (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 18: Revenue (effective 1995)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 19: Employee Benefits (effective 2006)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 20: Accounting for Government Grants and Disclosure of Government Assistance (effective 1984)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 21: The Effects of Changes in Foreign Exchange Rates (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 23: Borrowing Costs (effective 1995)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 24: Related Party Disclosures (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 26: Accounting and Reporting by Retirement Benefit Plans (effective 1998)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 27: Consolidated and Separate Financial Statements (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 28: Investments in Associates (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 29: Financial Reporting in Hyperinflationary Economies (effective 1990)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 31: Interests in Joint Ventures (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 32: Financial Instruments: Disclosure and Presentation (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 33: Earnings per Share (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 34: Interim Financial Reporting (effective 1999)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 36: Impairment of Assets (effective 2004)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 37: Provisions, Contingent Liabilities and Contingent Assets (effective 1999)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 38: Intangible Assets (effective 2004)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 39: Financial Instruments: Recognition and Measurement (effective 2006)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 40: Investment Property (effective 2005)

    There is insufficient publicly available information that directly addresses this principle.

    IAS 41: Agriculture (effective 2003)

    There is insufficient publicly available information that directly addresses this principle.

    Jump to other standards


    Sources of Assessment

    Institute of Chartered Accountants of Cameroon, "Response to the IFAC Part 2, SMO Self-Assessment Questionnaire," Self-assessment prepared as a part of the International Federation of Accountants' (IFAC) Member Body Compliance Program, December 2006. Available from International Federation of Accountants' website. Accessed on November 30, 2007. (ONECCA 2006a)

    Institute of Chartered Accountants of Cameroon, "Assessment of the Regulatory and Standard- Setting Framework," Self-assessment prepared as part of the International Federation of Accountants' (IFAC) Member Body Compliance Program, January 2006. Available from International Federation of Accountants' website. Accessed on November 30, 2007. (ONECCA 2006b)

    International Monetary Fund, "Central African Economic and Monetary Community: Financial System Stability Assessment, including Reports on the Observance of Standards and Codes on the following topics - Monetary and Financial Policy Transparency, and Banking Supervision," Country Report No. 06/321, Washington, D.C.: IMF, August 2006. Available from World Bank website. Accessed on November 27, 2007. (IMF 2006)

    Organization for the Harmonization of African Business Law website. Association of Accountancy Bodies in West Africa (ABWA)

    Relevant Organizations

    Bank of Central African States - Banque des Etats de l'Afrique Centrale (BEAC) (in French only)

    Central African Banking Commission - Commission Bancaire de l'Afrique Centrale (COBAC) (in French only)

    Central African Economic and Monetary Union - Communauté Economique et Monétaire de Afrique Centrale (CEMAC) (in French only)

    Douala Stock Exchange (DSX) (in French only)

    Financial Markets Commission - Commission des marchés financiers (CMF)

    Fédération Internationale des Experts Comptables Francophones (FIDEF) (in French only)

    Fédération des réviseurs et experts comptables d'Afrique Centrale (FRECAC).

    Institute of Chartered Accountants of Cameroon - Ordre National des Experts Comptables du Cameroun (ONECCA)

    Inter African Conference for the Insurance Market - Conférence Inter-Africaine des Marchés d'Assurance (CIMA)

    Ministry of Economy and Finance - Ministère de l'Économie et des Finances (MEF)

    Organization for the Harmonization of Business Law in Africa - Organization pour l'Harmonization du Droit des Affaires en Afrique (OHADA)



    Relevant Legislation/Regulation

    Uniform Act on Accountancy, Acte uniforme sur le droit comptable.

    Uniform Act Relating to Commercial Companies and Economic Interest Groups 1999, Acte uniforme OHADA sur le droit des sociétés commerciales et du Groupement d'Intérêt économique, 1999

    Uniform Act Organizing and Harmonizing Company Accounting Systems, 2000 (in French only)

    OHADA Accounting Plan - Plan Comptable OHADA



    Supplementary Sources

    International Federation of Accountants website. Accessed on November 30, 2007. (IFAC website)

    International Monetary Fund, "Cameroon: Review of the Staff-Monitored Program and Request for a Three-Year Arrangement under the Poverty Reduction and Growth Facility, and for Additional Interim Assistance Under the Enhanced Heavily Indebted Poor Countries Initiative - Staff Report; Press Release on the Executive Board Discussion; and Statement by the Executive Director for Cameroon," Country Report No. 05/413, Washington D.C.: IMF, November 2005.Available from International Monetary Fund website. Accessed on November 30, 2007. (IMF 2005)

    International Monetary Fund, "Cameroon: Selected Issues," Country Report No.07/287, Washington, D.C.: IMF, August 2007. Available from International Monetary Fund website. Accessed on November 30, 2007. (IMF 2007)

    Moutassi, E., "Inter-African Conference on Insurance Markets (CIMA): Organization, Expectation, Challenges and Outlook," 2nd Contractual Savings Conference, Washington D.C., U.S.A., November 3-7, 2003. Available from the World Bank website. Accessed on November 30, 2007.(Moutassi 2003)

    World Bank, "Gabon - Financial Sector Assessment," April 2003. Available from World Bank website. Accessed on November 30, 2007. (WB 2003)
    ©  Copyright 2008 Financial Standards Foundation. All Rights Reserved. Terms of Use | Contact