ARMENIA TO APPLY NEW ACOUNTANCY STANDARDS WITHIN YEAR

ARKA
March 12, 2008

YEREVAN, March 12. /ARKA/. Armenia plans the translation and
introduction of new standards of accountancy and financial reporting
within a year. RA Deputy Minister of Finance and Economy David
Avetisyan said that it is to be done under an agreement between the
RA Ministry of Finance and Economy and the International Committee
for accountancy and financial reporting standards in 2007.

Avetisyan added that Armenia pledged to apply each new amendment to
the international standards within a year after they are approved by
the Committee.

Avetisyan said that this process does not envisage the adaptation of
standards to Armenia’s conditions.

"Formerly, international standards underwent adaptation, which,
however, was beyond the procedures of the International Committee. This
did not allow Armenian standards to get an international status,"
he said.

In this context, Avetisyan pointed out that the experience of global
business shows that business laws are not so different in various
countries, and the adaptation of accountancy and financial reporting
standards is of no sense.

"The translation must be done in conformity with international
standards as well, which requires the formation of a translating
board and a supervisory board of highly-killed specialists and
representatives of the world’s largest consulting and auditing
companies," Avetisyan said.

Clifford Issak, executive partner of the PWC Company in Armenia,
pointed out the importance of transition to international standards,
as this is a global language spoken throughout the world.

Armenian clients realize the importance of this progress, which is a
precondition for the company’s coming to the country, Issak said. He
added that the transition to international standards will improve
the business environment in Armenia.

On March 12, the RA Ministry of Finance and Economy issued an auditing
license to one of the world’s leading auditing and consulting companies
PricewaterhouseCoopers.

The world’s three leading consulting and auditing companies –
PricewaterhouseCoopers, KPMG and Grant Thornton Amyot – Ð~Ze working
in Armenia now.

Also, 31 local and international auditing companies, as well as
four individual auditors, are working in the country. In 2007, 700
contracts for auditing and services were signed in Armenia. -0–

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