Burkina Faso
| Extent of IFRS application | Status | Additional Information |
|---|---|---|
| IFRS Standards are required for domestic public companies |
|
As of 1 January 2019, IFRS Standards are required for all listed companies and companies ‘making a public call for capital’. |
| IFRS Standards are permitted but not required for domestic public companies | ||
| IFRS Standards are required or permitted for listings by foreign companies |
|
Required for all foreign companies whose securities trade in a public market starting 1 January 2019. |
| The IFRS for SMEs Standard is required or permitted | ||
| The IFRS for SMEs Standard is under consideration |
Organisation
Organisation pour l'Harmonisation en Afrique du Droit des Affaires (OHADA) [Organisation for the Harmonisation of Business Law in Africa]
Union Economique et Monétaire Ouest Africaine (UEMOA) [West African Economic and Monetary Union]
Ordre National des Experts-Comptables et des Comptables Agréés du Burkina Faso (ONECCA)
Role of the organisation
Organisation for the Harmonisation of Business Law in Africa (OHADA)
In October 1993, 17 West and Central African nations signed a treaty forming a regional organization called Organisation pour l’Harmonisation en Afrique du Droit des Affaires (OHADA) -- the Organisation for the Harmonisation of Business Law in Africa. The 17 countries are Benin, Burkina Faso, Cameroon, Central African Republic, Chad, Comoros, Côte d’Ivoire, Democratic Republic of Congo, Equatorial Guinea, Gabon, Guinea, Guinea-Bissau, Mali, Niger, Republic of the Congo, Senegal, and Togo.
OHADA was established with the objective of fostering economic development in West and Central Africa by creating a better investment climate so as to attract investment and enhance growth. OHADA has adopted business laws and formed institutions to implement those laws.
OHADA has authority to adopt accounting standards. By treaty, the member states must abide by those standards.
On 26 January 2017, the Council of Ministers of OHADA adopted the OHADA Uniform Act on Accounting Law and Financial Reporting. It was published in the Official Gazette of the Organization on 15 February 2017. That Act adopted an OHADA accounting system called Système Comptable OHADA, or SYSCOHADA. SYSCOHADA is 1,246 pages long, in French. You can download it here (81mb).
For most companies in OHADA countries, the SYSCOHADA accounting system is an elaboration of the French Plan Comptable, and it applies to small and medium-sized entities (SMEs). It is effective 1 January 2018. However, for listed companies and companies seeking financing in a public capital market, the new OHADA system requires IFRS Standards in consolidated financial statements starting 1 January 2019.West African Economic and Monetary Union (UEMOA)
Eight OHADA jurisdictions are also members of the Union économique et monétaire ouest-africaine (West African Economic and Monetary Union, or UEMOA). The eight UEMOA jurisdictions are Benin, Burkina Faso, Guinea Bissau, Côte d’Ivoire, Mali, Niger, Senegal and Togo. UEMOA was formed by treaty in January 1994 with the goal of establishing a common market and adopting joint policies particularly on human resources, territorial administration, agriculture, energy, industry, mines, transport, infrastructure and telecommunications. In pursuing its mission, UEMOA also has authority to adopt accounting standards. Under the treaty, the member states must abide by those standards.
On 20 December 1996, the UEMOA adopted regional accounting standards known as Le Système Comptable Ouest Africain (West African Accounting system, or SYSCOA), effective 1 January 1998. SYSCOA is based on the French Plan Comptable. It applies to all companies in the UEMOA jurisdictions. However, for the consolidated financial statements of listed companies and companies seeking financing in a public capital market, the IFRS requirement in the new OHADA system applies starting 1 January 2019.
Bourse Régionale des Valeurs Mobilières (BRVM)
The eight UEMOA jurisdictions have organised a securities exchange: Bourse Régionale des Valeurs Mobilières (BRVM). The BRVM began operations in 1998. The listing rules of the BRVM do not specify the accounting standards by which the required financial statements must be prepared.
Ordre National des Experts-Comptables et des Comptables Agréés du Burkina Faso (ONECCA)
ONECCA is the professional accountancy body in Burkina Faso.
Website
Email contact
Has the jurisdiction made a public commitment in support of moving towards a single set of high quality global accounting standards?
Yes. By having adopted IFRS Standards for all listed companies and companies seeking financing in a public capital market, OHADA and its member jurisdictions have publicly stated their commitment to global accounting standards. The announcement can be found on the OHADA website.
Has the jurisdiction made a public commitment towards IFRS Standards as that single set of high quality global accounting standards?
Yes. By having adopted IFRS Standards for all listed companies and companies seeking financing in a public capital market, OHADA and its member jurisdictions have publicly stated their commitment to IFRS Standards. The announcement can be found on the OHADA website.
What is the jurisdiction's status of adoption?
Additional comments provided on the adoption status?
If the jurisdiction has NOT made a public statement supporting the move towards a single set of accounting standards and/or towards IFRS Standards as that set of standards, explain the jurisdiction's general position towards the adoption of IFRS Standards in the jurisdiction.
For DOMESTIC companies whose debt or equity securities trade in a public market in the jurisdiction:
Are all or some domestic companies whose securities trade in a public market either required or permitted to use IFRS Standards in their consolidated financial statements?
If YES, are IFRS Standards REQUIRED or PERMITTED?
Does that apply to ALL domestic companies whose securities trade in a public market, or only SOME? If some, which ones?
Are IFRS Standards also required or permitted for more than the consolidated financial statements of companies whose securities trade in a public market?
For instance, are IFRS Standards required or permitted in separate company financial statements of companies whose securities trade in a public market?
For instance, are IFRS Standards required or permitted for companies whose securities do not trade in a public market?
Yes. IFRS Standards are required for all companies ‘making a public call for capital’, that is, seeking capital in a public market. OHADA has adopted the Uniform Act Relating to Commercial Companies and the Economic Interest Group. Article 81 of Title 4 of that Act states that a company is automatically deemed to be making a public call for capital if its ‘shares are distributed beyond a radius of one hundred (100) persons’. Therefore, companies with more than 100 shareholders are required to use IFRS Standards, even if their securities do not trade in a public market.
