KUALA LUMPUR – International accounting body CPA Australia and the Malaysian Institute of Accountants (MIA) have collaborated to update two important guides to improve the financial literacy of Malaysian investors and businesses.
“The framework for reporting and the requirements for auditing and assurance have evolved in tandem with an increasingly complex global business environment.
“These guides provide much-needed clarification and explanation of annual reports and auditor’s reports,” CPA Australia Malaysia country head Priya Terumalay said on September 1.
In a joint statement, CPA Australia and MIA said the resources, “A Guide to Understanding Annual Reports: Malaysian Listed Companies” and “A Guide to Understanding Auditing and Assurance: Malaysian Listed Companies”, were updated to reflect developments in reporting over the past seven years.
This includes changes in non-financial reporting such as the Malaysian Code of Corporate Governance 2021 and International Integrated Reporting Framework and auditor reporting requirements.
MIA chief executive officer Nurmazilah Mahzan said as the national accountancy body, MIA recognises the need to educate shareholders and other providers of capital who are not conversant in financial reporting standards, auditing and assurance matters as well as certain rules and regulations affecting the financial statements.
To further improve corporate reporting towards enhanced business sustainability, she highlighted the key new development of value reporting, which is the formation of the Value Reporting Foundation and ongoing work on the convergence of integrated reporting and sustainability reporting.
“The end result of value reporting will be more comparable, consistent and reliable information that enables more holistic decision making by businesses and investors.
“The move towards value reporting will also facilitate adoption and disclosure of environmental, social and corporate governance matters,” Nurmazilah said.