Changes have been made to the process of maintaining consolidated financial reporting for the republican budget of Kazakhstan. These amendments have been included in the regulatory acts by the Ministry of Finance following the directives of the Supreme Audit Chamber, as reported by the business information center Kapital.kz, citing the press service of the SAC.
As explained by the Chamber, the state audit previously identified a number of shortcomings that affected the objectivity and accuracy of the consolidated financial statements of the republican budget. Furthermore, there were no specific regulatory norms necessary to enhance the precision of the reports being generated.
In this regard, the SAC instructed the Ministry of Finance to make the necessary changes and additions to the Rules for Accounting in State Institutions. In particular:
- to account for the depreciation of roads using the recommended useful life periods;
- to reflect received loans in accordance with international standards: initially at fair value, then at amortized cost;
- to record financial investments in quasi-public sector entities made through equity participation;
- to reassess the value of residential buildings recorded at zero cost using the calculation methodology from the Tax Code for taxing individuals' property;
- to include requirements for separate accounting of structures, including roads and the land plots on which they are located.
“All these and other points are necessary to ensure the objectivity of the consolidated financial reporting of the republican budget and to reflect assets in their real, current state. The changes have been incorporated into the Rules for Accounting in State Institutions by the order of the Minister of Finance dated February 14, 2025. The implementation of the remaining points of the SAC's directive remains under control until complete fulfillment,” the SAC noted.
Recall that it was previously reported that the impact of support from the Industrial Development Fund for projects will begin to be assessed at the selection stage.