Compliance Best Practices Guide in Bhutan: A Look at the Accounting and Auditing Standards Board of Bhutan (AASBB)

In 2010, the Council of Cabinet Ministers approved the formation of the Accounting and Auditing Standards Board of Bhutan (AASBB), aiming to promote high-quality financial reporting and auditing standards. This move was aligned with international best practices.

Mission and Objectives

The mission of AASBB is to promote high-quality financial reporting and auditing standards through the development and implementation of Bhutanese Accounting Standards (BAS) and Bhutanese Standards on Auditing (BSA). The board’s main objectives include:

• Developing clear and enforceable BAS and BSA
• Harmonizing them with international accounting and auditing standards
• Recommending standards for government approval
• Promoting communication and education among stakeholders
• Supporting research in financial reporting
• Harmonizing statutory and legal framework requirements

Organization Structure

AASBB is organized into four divisions:

Financial Reporting Standards Division

• Reviews and issues new standards or amendments to existing ones
• Provides technical clarifications
• Supports professional development
• Facilitates the establishment of the Institute of Chartered Accountants of Bhutan

Public Sector Accounting Standards Division

• Develops and implements accounting standards for public sector entities
• Harmonizes with international public sector accounting standards

Auditing & Assurance Standards Division

• Develops and implements auditing and assurance standards
• Harmonizes with international auditing standards

Administration and Finance Division

• Manages the board’s administrative functions
• Oversees financial management and budgeting

Commitment to Compliance

The AASBB is committed to promoting compliance with accounting and auditing standards in Bhutan. You can find more information about the board on their website at www.aasbb.com.bt or contact them at aasbbhutan@gmail.com.