Stocks
“International Financial Reporting Standards shall increase transparency in Insurance”
Full compliance with International Financial Reporting Standards (IFRS)-17 will increase transparency and accountability in the insurance sector and companies will be able to gain public trust, which will help bring about fundamental changes in the insurance sector, said Mohammad Zainul Bari, chairman of the Insurance Development and Regulatory Authority (IDRA).
“IDRA will give more importance to complying with IFRS-17 so Bangladeshi insurance companies can prepare their financial statements according to international accounting standards immediately upon implementation of this standard next year,” said Zainul Bari speaking as chief guest at the “IFRS – Insurance Contracts: Overview, Implementation Challenges and Way Forward” program, organized by the Institute of Chartered Accountants of Bangladesh at Pan Pacific Sonargaon Hotel in Dhaka on Sunday.
Compliance with IFRS-17 will be effective from 1 January 2023 and listed companies will follow this standard in preparing annual reports. Currently, companies prepare annual reports following International Financial Reporting Standards, International Accounting Standards, and Bangladesh Financial Reporting Standards, he added.
Insurance development and regulatory bodies will develop an action plan to fully comply with IFRS-17, said the IDRA chairman and sought the cooperation of various stakeholders, including ICAB, and FRC in this regard.
Md Shahadat Hossain, president of the Institute of Chartered Accountants of Bangladesh, said insurance companies are major investors in financial markets. Hence, the increasing linkage between insurers and banks is considered in safeguarding the country’s financial stability.
He added that accounting standards in this sector are an important element for sustainable growth, alongside increasing transparency.
Wasequl H Reagan, a partner at Mahfel Huq and Co, presented the keynote article. Chairmen, managing directors, chief executive officers, and directors of life and non-life insurance companies, participated in the seminar.
One of the Listed companies, National Polymer Limited has recommended 10.50% Cash Dividend for the year ended June 30, 2024.
It has reported Consolidated EPS of Tk 2.27 paisa, and Consolidated NAV per share of Tk 30.63 for the year ended March 31, 2024.
The Annual General Meeting (AGM) of the company will be held on December 18, through the digital platform. The record date for this has been fixed at October 22.
The Company also discloses its financial reports for the second quarter, (April – June 24).
As per the company’s consolidated life revenue account for April to June 2024, the excess of total income over total expenses, including claims (surplus), stood at Tk 1,394.24 million. This marks a significant increase from the surplus of Tk 823.68 million during the same period in 2023.
For the first half of 2024, from January to June, the company reported a surplus of Tk 2,177.57 million, compared to Tk 1,290.39 million in the corresponding period of the previous year.
Additionally, the Life Insurance Fund balance as of June 30, 2024, reached Tk 55,188.62 million, showing a net increase of Tk 5,892.25 million from Tk 49,296.37 million on June 30, 2023.
One of the Listed companies, Beacon Pharmaceuticals PLC has recommended 20% Cash dividend and 10% Cash Dividend to Sponsor Shareholder and Directors for the year ended June 30, 2024.
It has reported EPS of Tk 2.26 paisa, and NAV per share of Tk. 26.37 for the year ended June 30, 2024.
The Annual General Meeting (AGM) of the company will be held on December 23, through the digital platform. The record date for this has been fixed at October 27.
The Bangladesh Securities and Exchange Commission (BSEC) has removed three audit firms from its panel for their failure to secure enlistment with the Financial Reporting Council (FRC), according to a notice issued today.
The firms—A Hoque & Company, FAMES & R, and SK Barua & Company Chartered Accountants—were delisted following the FRC’s request. In December last year, the FRC published a list of enlisted audit firms and subsequently, in February, requested the BSEC to remove any firms that were not included on that list.
BSEC regulations mandate that financial statements signed by auditors outside its approved panel will not be accepted. With the removal of these three firms, the total number of audit firms on the BSEC panel has been reduced from 48 to 45.
Sources from the FRC revealed that 15-20 audit firms failed to secure enlistment last year, and approximately 45 chartered accountants are currently under restrictions imposed by the Institute of Chartered Accountants.
Although the delisted firms can no longer audit issuer companies or listed securities, they are allowed to complete audit and assurance services that were initiated before their removal, the BSEC clarified.
You must be logged in to post a comment Login