Representatives of SARAS meet Representatives of Business Associations

On March 21, representatives of SARAS met representatives of Business Associations. The discussion focused on sharing planned changes in the system of qualitative categories of auditors/audit firms so that attendees could have the opportunity to share their comments and views with SARAS. As a reminder, a 6-category evaluation system was put into effect in 2017. At this stage, monitoring has already covered more than 90% of the total volume of the audit services market. A total of 232 firms have been monitored.  Having analyzed the current situation, SARAS believes that the need to simplify the system and to bring it closer to the European practice has become apparent.

Therefore, SARAS is planning to make significant changes to these categories. In particular, from 2024, auditors/audit firms will be divided into three groups as follows:

a) audit firms authorized to conduct audits of Public Interest Entity (PIE) - this group will include audit firms assigned to the first or second qualitative categories;

b) auditors/audit firms authorized to conduct statutory audits (first and second category entities, except PIE) – this group will include auditors/audit firms assigned to the third or fourth qualitative categories;

c) auditors/audit firms authorized to conduct non-statutory audits - this group will include auditors/audit firms registered in the registry that are assigned to the fifth qualitative categories. Representatives of SARAS answered the audience’s questions at the meeting.  It should be noted that SARAS has already held a meeting with auditors on this matter to share information and to hear the opinions of the auditors.