Myanmar
| Extent of IFRS application | Status | Additional Information |
|---|---|---|
| IFRS Standards are required for domestic public companies |
|
Public companies and financial institutions are required to use Myanmar Financial Reporting Standards (MFRS), which are substantively identical to the 2010 versions of IFRS Standards. |
| IFRS Standards are permitted but not required for domestic public companies | ||
| IFRS Standards are required or permitted for listings by foreign companies | There are no foreign companies whose securities trade in a public market in Myanmar. | |
| The IFRS for SMEs Standard is required or permitted |
|
Myanmar has adopted the IFRS for SMEs Standard as the Myanmar Financial Reporting Standard for SMEs. SMEs are permitted to use the MFRS for SMEs or full MFRS. |
| The IFRS for SMEs Standard is under consideration |
Organisation
Myanmar Accountancy Council (MAC)
Myanmar Institute of Certified Public Accountants (MICPA)
Role of the organisation
Accounting standards in Myanmar are set by the Myanmar Accountancy Council (MAC), which is headed by the Union Auditor General of the Republic of the Union of Myanmar.
With regard to accounting standards, the MICPA is an advisory body to the MAC.
Website
Myanmar Accountancy Council: www.oagmac.gov.mm
Email contact
Has the jurisdiction made a public commitment in support of moving towards a single set of high quality global accounting standards?
Yes.
Has the jurisdiction made a public commitment towards IFRS Standards as that single set of high quality global accounting standards?
Yes.
What is the jurisdiction's status of adoption?
Myanmar has adopted the 2010 version of IFRS Standards for all publicly accountable entities. Those standards are known as Myanmar Financial Reporting Standards (MFRSs).
Additional comments provided on the adoption status?
In 2003 and 2004, the Myanmar Accountancy Council (MAC) issued Myanmar Accounting Standards (MASs) 1 to 30, which were based on International Accounting Standards existing at that time. Because of a lack of detailed guidance and training on those standards, accountants in Myanmar found them difficult to apply.
On 5 June 2010, the MAC withdrew all 30 of those standards and replaced them with 29 new MASs and 8 new Myanmar Financial Reporting Standards (MFRSs) that were identical to the IFRS Standards that existed on that date (including the same numbering). The new MASs and MFRSs were notified in the Official Gazette and became effective on 4 January 2011.
The MAC has a plan to update the MASs/MFRSs to reflect new and amended standards issued by the IASB since 4 January 2011.
The Securities and Exchange Law of Myanmar (Law No. 20 /2013) adopted 31 July 2013 requires (Section 12) that the following types of entities use Myanmar Accounting Standards (MASs and MFRSs described above):
- Public companies
- Securities companies
- Companies whose securities trade in an over-the-counter market
- Stock exchanges
- Persons who serve as a responsible person, member, staff and agent of the above categories
- Entities that hold a license as a lawyer or auditor, or agent of such license-holder.
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.
Not applicable.
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?
The Yangon Stock Exchange (YSX) was launched in December 2015. Additionally, an over the counter market has developed for the shares of some companies; those companies are regarded as publicly accountable. Companies listed on the YSX and companies trading in the over-the-counter market are required to use MFRSs, which are identical to the 2010 versions of IFRS Standards.
If YES, are IFRS Standards REQUIRED or PERMITTED?
Required.
Does that apply to ALL domestic companies whose securities trade in a public market, or only SOME? If some, which ones?
All.
Are IFRS Standards also required or permitted for more than the consolidated financial statements of companies whose securities trade in a public market?
Yes.
For instance, are IFRS Standards required or permitted in separate company financial statements of companies whose securities trade in a public market?
Required.
For instance, are IFRS Standards required or permitted for companies whose securities do not trade in a public market?
MFRSs (which are identical to the 2010 version of IFRS) Standards are permitted. Alternatively, SMEs may use the MFRS for SMEs, which is identical to the IFRS for SMEs Standard.
If the jurisdiction currently does NOT require or permit the use of IFRS Standards for domestic companies whose securities trade in a public market, are there any plans to permit or require IFRS Standards for such companies in the future?
Not applicable.
For FOREIGN companies whose debt or equity securities trade in a public market in the jurisdiction:
Are all or some foreign companies whose securities trade in a public market either REQUIRED or PERMITTED to use IFRS Standards in their consolidated financial statements?
There are no foreign companies whose securities trade in a public market in Myanmar.
If YES, are IFRS Standards REQUIRED or PERMITTED in such cases?
Not applicable.
Does that apply to ALL foreign companies whose securities trade in a public market, or only SOME? If some, which ones?
Not applicable.
Which IFRS Standards are required or permitted for domestic companies?
IFRS Standards as issued by the IASB as of 2010, which have been adopted by the Myanmar Accountancy Council as MFRSs.
The auditor's report and/or the basis of presentation footnotes states that financial statements have been prepared in conformity with:
Myanmar Financial Reporting Standards.
Does the auditor's report and/or the basis of preparation footnote allow for ‘dual reporting’ (conformity with both IFRS Standards and the jurisdiction’s GAAP)?
Yes.
Are IFRS Standards incorporated into law or regulations?
Yes.
If yes, how does that process work?
IFRS Standards have been adopted as MFRSs by the Myanmar Accountancy Council, which was created in 1972 by the Burma Accountancy Council Law and has legal authority to issue accounting standards that are mandatory in Myanmar.
If no, how do IFRS Standards become a requirement in the jurisdiction?
Not applicable.
Does the jurisdiction have a formal process for the 'endorsement' or 'adoption' of new or amended IFRS Standards (including Interpretations) in place?
Yes.
If yes, what is the process?
The Myanmar Accountancy Council has a policy to consider new and amended IFRS within one year after they are issued by the IASB Board. The MAC seeks the views of others including the MICPA. Approved MFRSs are published in the Official Gazette.
If no, how do new or amended IFRS Standards become a requirement in the jurisdiction?
Not applicable.
Has the jurisdiction eliminated any accounting policy options permitted by IFRS Standards and/or made any modifications to any IFRS Standards?
No. However, IFRS Standards were adopted as of 2010 and have not been updated since.
If yes, what are the changes?
Not applicable.
Other comments regarding the use of IFRS Standards in the jurisdiction?
None.
Are IFRS Standards translated into the local language?
No.
If they are translated, what is the translation process? In particular, does this process ensure an ongoing translation of the latest updates to IFRS Standards?
Not applicable.
Has the jurisdiction adopted the IFRS for SMEs Standard for at least some SMEs?
Yes. Myanmar has adopted the IFRS for SMEs Standard as the MFRS for SMEs.
If no, is the adoption of the IFRS for SMEs Standard under consideration?
Not applicable.
Did the jurisdiction make any modifications to the IFRS for SMEs Standard?
No.
If the jurisdiction has made any modifications, what are those modifications?
Not applicable.
Which SMEs use the IFRS for SMEs Standard in the jurisdiction, and are they required or permitted to do so?
All SMEs are permitted to use the MFRS for SMEs.
For those SMEs that are not required to use the IFRS for SMEs Standard, what other accounting framework do they use?
SMEs that do not use the MFRS for SMEs must use full MFRSs which are identical to IFRS Standards as of 2010.
Other comments regarding use of the IFRS for SMEs Standard?
None.
Myanmar has adopted IFRS as well as the IFRS for SMEs (2010 version) for all companies. For a fuller description of the Myanmar reporting requirements, see the Myanmar jurisdictional profile.
General requirements for companies for-profit entities
Under Section 32 of the Myanmar Companies Act (MCA), every company having a share capital must, within 18 months from its incorporation and thereafter at least once every year, prepare an annual return within 21 days after the date of the first and or the only ordinary general meeting.
Public companies are required by the MCA to file the annual return and audited financial statements physically with the Directorate of Investment and Company Administration (DICA). Companies other than public companies, although not required, file the annual return and attach the audited financial statements to the DICA in practice.
The MCA is currently under amendment with the assistance of the Asian Development Bank.
Listed companies
Myanmar currently has no stock exchange and therefore there are no requirements for listed entities to publicly release financial statements. However, the Yangon Stock Exchange is under development and expected to be in place by the end of 2015.
General requirement for companies
All filings are in physical format.
Listed companies
Myanmar currently has no stock exchange and therefore there are no requirements for listed entities to public release financial statements. However, the Yangon Stock Exchange is under development and expected to be in place by the end of 2015.
What type or format of structured electronic filing is required or permitted?
None
What is the purpose of the electronic filing?
N/A
What documents are required to be filed to the electronic filing system?
N/A
Is the financial data provided in XBRL format publicly available?
N/A
Is the XBRL reporting system based on the IFRS Taxonomy issued by the IASB?
N/A
If no, what are the reasons for not using the IFRS Taxonomy?
N/A
Is the IFRS for SMEs filing adopted in the XBRL reporting system?
N/A
If no, are there any plans to implement the IFRS for SMEs filing in the future?
No plans at present
How is the XBRL financial statement reporting system set up?
N/A
What is (are) the intended purpose(s) of the local base taxonomy?
(a) to adopt the IFRS Taxonomy in a way that is consistent with locally endorsed IFRS and the endorsement process
(b) to restrict filer's ability or requirement to make extensions
(c) to take a back-up of the IFRS Taxonomy locally
(d) to include extension items for local legal and regulatory requirements
(e) to include extension items for reporting metadata
(f) the IFRS Taxonomy is adopted as it is. Australian extensions are added but the ASIC follows the architecture of the IFRS Taxonomy.
(g) N/A
Which IFRS Taxonomy files are used?
(a) taxonomy schemas
(b) extension schemas
(c) presentation linkbases
(d) definition linkbases
(e) calculation linkbases
(f) label linkbases
(g) reference linkbases
(h) formula linkbases
(j) N/A
Which part(s) of the IFRS (local) Taxonomy do filer's submissions import/refer to?
(a) taxonomy schemas
(b) extension schemas
(c) presentation linkbases
(d) definition linkbases
(e) calculation linkbases
(f) label linkbases
(g) reference linkbases
(h) formula linkbases
(i) all linkbases
(j) N/A
Are filers permitted to replace or override any aspects or specified features of the IFRS (local) Taxonomy?
N/A
If yes, which aspects and how does this work?
(a) presentation structure
(b) definition linkbase structure
(c) label
(d) dimensional definition linkbases, subject to change
(e) N/A
What is the scope or coverage of XBRL filing/tagging?
N/A
Are there any plans to extend the coverage of the XBRL filing/tagging in the future?
N/A
Which version of the IFRS Taxonomy is being used
N/A
If the taxonomy is to be updated to the 2014/2015 version, which of the following module(s) is (are) to be used?
(a) full IFRS is being used
(b) SME reporting
(c) Management Commentary
(d) N/A
Any guidelines or submission rules for filers?
N/A
Do bodies in this jurisdiction use XBRL for purposes other than general purpose financial reports? (For example, taxation authorities, statistical purposes etc.)
No
Organisation
Myanmar Institute of Certified Public Accountants (MICPA)
Role of the organisation
Accounting standards in Myanmar are set by the Myanmar Accountancy Council (MAC), which is headed by the Union Auditor General of the Republic of the Union of Myanmar.
With regard to accounting Standards, the MICPA is an advisory body to the MAC.
