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Extent of IFRS applicationStatusAdditional Information
IFRS Accounting Standards are required for domestic public companies All domestic companies whose securities trade in a regulated market are required to use IFRS Standards as adopted by the EU in their consolidated financial statements.
IFRS Accounting Standards are permitted but not required for domestic public companies
IFRS Accounting Standards are required or permitted for listings by foreign companies IFRS Standards as adopted by the EU are required in their consolidated financial statements except that a foreign company whose home jurisdiction’s standards are deemed by the EU to be equivalent to IFRS Standards may use its home standards.
The IFRS for SMEs Accounting Standard is required or permitted No.
The IFRS for SMEs Accounting Standard is under consideration Yes.

Profile last updated: 17 April 2026

RELEVANT JURISDICTIONAL AUTHORITY

Organisation
The Institute of Certified Public Accountants of Cyprus (ICPAC)
Role of the organisation

Cyprus Companies Law Cap. 113 requires all companies to use IFRS Accounting Standards in the preparation of their financial statements.

ICPAC is the body of professional accountants in Cyprus. Although ICPAC does not set accounting standards, it promotes high-quality implementation of accounting standards through its code of ethics and educational activities.

Website
http://www.icpac.org.cy
Email contact
info@icpac.org.cy

COMMITMENT TO GLOBAL FINANCIAL REPORTING STANDARDS

Has the jurisdiction made a public commitment in support of moving towards a single set of high quality global accounting standards?

Yes.

Refer to the International Accounting Standards (IAS) Regulation adopted by the European Union in 2002: http://data.europa.eu/eli/reg/2002/1606/oj.

Has the jurisdiction made a public commitment towards IFRS Accounting Standards as that single set of high quality global accounting standards?

Yes.

Refer to the IAS Regulation adopted by the European Union in 2002: http://data.europa.eu/eli/reg/2002/1606/oj.

What is the jurisdiction’s status of adoption?
Cyprus has already adopted IFRS Accounting Standards for the consolidated financial statements of all companies whose securities trade in a regulated market.
Additional comments provided on the adoption status?

As a member state of the European Union, Cyprus is subject to the IAS Regulation adopted by the European Union in 2002 (EU IAS Regulation).

The EU IAS Regulation requires application of IFRS Accounting Standards as adopted by the EU for the consolidated financial statements of European companies whose securities trade in a regulated securities market starting in 2005. The EU IAS Regulation gives Member States the option to require or permit use of IFRS Accounting Standards as adopted by the European Union in separate company financial statements (statutory accounts) and/or in the consolidated financial statements of companies whose securities do not trade on a regulated securities market. See the Profile for the European Union for more detailed information about the EU IAS Regulation.

There is one regulated market in Cyprus – the Cyprus Stock Exchange.

Cyprus used the option under the EU IAS Regulation to:

  • require use of IFRS Accounting Standards as adopted by the European Union in both the separate company financial statements and consolidated financial statements of all companies whose securities trade in a regulated market; and
  • require use of IFRS Accounting Standards as adopted by the European Union in both the consolidated and separate company financial statements of companies whose securities do not trade in a regulated market.

IFRS Accounting Standards were required in Cyprus even before the EU IAS Regulation. Cyprus has required use of IFRS Accounting Standards since 1981. Furthermore, IFRS Accounting Standards have been a requirement of the Cyprus Stock Exchange since 1996, and a requirement under Cyprus Stock Exchange legislation since 2003. The use of IFRS Accounting Standards is now a requirement of the Cyprus Companies Law Cap. 113.

If the jurisdiction has NOT made a public statement supporting the move towards a single set of accounting standards and/or towards IFRS Accounting Standards as that set of standards, explain the jurisdiction's general position towards the adoption of IFRS Accounting Standards in the jurisdiction.
Not applicable.

EXTENT OF IFRS APPLICATION

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 Accounting Standards in their consolidated financial statements?
Yes.
If YES, are IFRS Accounting Standards REQUIRED or PERMITTED?
In accordance with the EU IAS Regulation, IFRS Accounting Standards as adopted by the European Union are required for the consolidated financial statements of all European companies whose debt or equity securities trade in a regulated market in Cyprus.
Does that apply to ALL domestic companies whose securities trade in a public market, or only SOME? If some, which ones?
All.
Are IFRS Accounting 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 Accounting Standards required or permitted in separate company financial statements of companies whose securities trade in a public market?
Yes, required for all companies.
For instance, are IFRS Accounting Standards required or permitted for companies whose securities do not trade in a public market?
Yes, required for all companies.
If the jurisdiction currently does NOT require or permit the use of IFRS Accounting Standards for domestic companies whose securities trade in a public market, are there any plans to permit or require IFRS Accounting 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 Accounting Standards in their consolidated financial statements?
Yes.
If YES, are IFRS Accounting Standards REQUIRED or PERMITTED in such cases?

Required for some and permitted for others. Foreign companies whose securities trade in a regulated market in Cyprus (and generally in the European Union) are required to report in accordance with IFRS Accounting Standards as adopted by the European Union for their consolidated financial statements unless the European Commission has deemed their local accounting standards to be equivalent to IFRS Accounting Standards, in which case they may use their local standards.

http://ec.europa.eu/finance/company-reporting/legal-framework/index_en.htm#legal-acts-equivalence

Does that apply to ALL foreign companies whose securities trade in a public market, or only SOME? If some, which ones?
All.

IFRS ENDORSEMENT

Which IFRS Accounting Standards are required or permitted for domestic companies?
IFRS Accounting Standards as endorsed by the European Union.
The auditor’s report and/or the basis of presentation footnote states that financial statements have been prepared in conformity with:
IFRS Accounting Standards as adopted by the European Union and the requirements of the Cyprus Companies law Cap. 113.
Does the auditor's report and/or the basis of preparation footnote allow for ‘dual reporting’ (conformity with both IFRS Accounting Standards and the jurisdiction’s GAAP)?
Yes.
Are IFRS Accounting Standards incorporated into law or regulations?
Yes.
If yes, how does that process work?
The process is described in the Jurisdictional Profile of the European Union.
If no, how do IFRS Accounting 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 Accounting Standards (including Interpretations) in place?
Yes.
If yes, what is the process?
The process is described in the Jurisdictional Profile of the European Union.
If no, how do new or amended IFRS Accounting Standards become a requirement in the jurisdiction?
Not applicable.
Has the jurisdiction eliminated any accounting policy options permitted by IFRS Accounting Standards and/or made any modifications to any IFRS Accounting Standards?
Yes.
If yes, what are the changes?
Details are in the Jurisdictional Profile of the European Union.
Other comments regarding the use of IFRS Accounting Standards in the jurisdiction?
None.

TRANSLATION OF IFRS ACCOUNTING STANDARDS

Are IFRS Accounting Standards translated into the local language?

Yes.

The European Union has 24 official and working languages. They are: Bulgarian, Croatian, Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Irish, Italian, Latvian, Lithuanian, Maltese, Polish, Portuguese, Romanian, Slovak, Slovene, Spanish and Swedish. Before they are published in the Official Journal of the European Union, and thereby become binding under EU law, individual IFRS Accounting Standards must be translated into all of those languages (other than English and Irish).

If they are translated, what is the translation process? In particular, does this process ensure an ongoing translation of the latest updates to IFRS Accounting Standards?

Pursuant to a copyright waiver agreement with the Directorate-General for Translation of the European Commission, the Commission takes care of the translation into the official languages according to their own translation process. The translation only covers the Standards and mandatory guidance, which are then published in the Official Journal of the European Union.

Furthermore, some jurisdictions (usually the standard-setter or institute) have a translation contract with the IFRS Foundation to produce an ‘official translation’ for publication of a bound volume of IFRS Accounting Standards (usually the ‘Red Book’) and, in some cases, publication of individual Standards and exposure drafts.

APPLICATION OF THE IFRS FOR SMEs ACCOUNTING STANDARD

Has the jurisdiction adopted the IFRS for SMEs Accounting Standard for at least some SMEs?
No.
If no, is the adoption of the IFRS for SMEs Accounting Standard under consideration?
Yes, adoption is currently under consideration. ICPAC has entered into a licensing agreement with the IFRS Foundation to enable the use of the IFRS for SMEs Accounting Standard. Cyprus is exploring the development of a local standard based on the 2015 version of the IFRS for SMEs Accounting Standard, with certain modifications to ensure alignment with the requirements of the Accounting Directive 2013/34/EU. Adoption is subject to approval by the relevant ministry and enactment by the Parliament of Cyprus.
Did the jurisdiction make any modifications to the IFRS for SMEs Accounting Standard?
Not applicable because not yet adopted.
If the jurisdiction has made any modifications, what are those modifications?
Not applicable because not yet adopted.
Which SMEs use the IFRS for SMEs Accounting Standard in the jurisdiction, and are they required or permitted to do so?
Not applicable.
For those SMEs that are not required to use the IFRS for SMEs Accounting Standard, what other accounting framework do they use?
For the moment, all companies in Cyprus are required to use IFRS Accounting Standards as adopted by the European Union.
Other comments regarding use of the IFRS for SMEs Accounting Standard?
None.