Promotion de l’économie privée
Régulation du secteur financier

Financial sector, corporate sector

Preparing for their accession to the EU in 2004, the new EU Member States undertook major reforms to their legal and regulatory frameworks governing corporate sector financial reporting. However, less emphasis was placed on the creation and/or strengthening of the institutional and human capacity required to ensure effective implementation and enforcement of the acquis in practice, and it is now evident that there is a substantial unfinished institutional development agenda in the field of financial reporting.

• Better decision-making and enhanced financial transparency and governance of the corporate sector
• Strengthened financial sector stability, as financial institutions and institutional investors gain access to more relevant, complete and reliable financial information
• Improved tax collections
  

The World Bank’s Center for Financial Reporting Reform will provide technical assistance and training to a number of Latvian key stakeholders. A strong focus will be put on audit public oversight and quality assurance in order to meet the requirements of the acquis communautaire and attain an enhanced quality and reliability of the auditing process and financial statements of Latvian private sector enterprises.

These are the expected results:

• Conformity of the accounting and auditing system with the acquis communautaire
• Strengthened institutional capacity in financial reporting policy-making, legislation, standard-setting as well as the implementation thereof.