Regulatory Alerts2016-01-01
Circular No. 206: International Standards on Auditing Regarding the Form and Content of Auditors' Reports
The Palestine Monetary Authority issued Circular No. 206/2016 mandating that all banks operating in Palestine coordinate with their external auditors to comply with updated International Standards on Auditing, particularly Standard No. 700 concerning the form and content of audit reports. Financial institutions must apply these updated requirements, including the mandatory inclusion of Key Audit Matters, to audits covering financial periods ending on or after December 31, 2016. This directive explicitly applies to Islamic banks as well, pending the issuance of alternative standards by the Accounting and Auditing Organization for Islamic Financial Institutions.
Palestine Monetary Authority
PALESTINE MONETARY AUTHORITY
Circular No. (206/2016)
To all banks operating in Palestine
Date: Thursday, November 10, 2016
Subject: International Standards on Auditing Regarding the Form and Content of Auditors' Reports
Following the latest developments in the set of International Standards on Auditing related to International Standard No. (700), which affect the form and content of the external auditor's report, particularly regarding Key Audit Matters that must be included in the external auditor's report, please coordinate with your auditors to comply with the requirements of the aforementioned standards when auditing the bank's financial statements, effective as of the financial data dated 31/12/2016.
The requirements of this circular shall apply to Islamic banks until alternative standards are issued by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) on this matter.
Deputy Governor
for Financial Stability Affairs
Supervision and Inspection Department
Copy to: Ernst & Young Middle East, Gentlemen
Deloitte & Touche (Middle East), Gentlemen
PricewaterhouseCoopers Palestine Ltd., Gentlemen
Ramallah - Palestine P.O. Box 452 | Tel: +970 2 2415250 | Fax: +970 2 2409922
Gaza - Palestine P.O. Box 4026 | Tel: +970 8 2825292 | Fax: +970 8 284487
Email: info@pma.ps
Ramallah - Palestine P.O. Box 452 | Tel: +970 2 2415250 | Fax: +970 2 2409922
Gaza - Palestine P.O. Box 4026 | Tel: +970 8 2825292 | Fax: +970 8 284487