What is the accounting standard used in Mauritius?

Mauritius has adopted the International Financial Reporting Standards (IFRS) as its official accounting framework. Companies registered in Mauritius, including Global Business Companies (GBCs), are generally required to prepare and present their financial statements in accordance with IFRS issued by the International Accounting Standards Board (IASB).

The adoption of IFRS aligns Mauritius' financial reporting practices with internationally recognized standards, promoting greater transparency, consistency, and investor confidence.

Who must comply with IFRS?

The use of IFRS is mandatory for several categories of entities, including:

• Public companies
• Private companies that exceed the prescribed annual turnover threshold
• Entities regulated by the Financial Services Commission (FSC), such as:
  • Management companies
  • Investment firms
  • Other licensed financial service providers

Audit requirements

Many companies in Mauritius are also required to appoint a licensed auditor to conduct an independent audit of their financial statements.

The audit is performed in accordance with the International Standards on Auditing (ISA) and helps ensure compliance with both:

• International Financial Reporting Standards (IFRS)
• Applicable laws and regulatory requirements in Mauritius

Benefits of adopting IFRS

Mauritius' adoption of IFRS provides several advantages, including:

• Greater transparency in financial reporting
• Improved comparability with international businesses
• Increased investor and stakeholder confidence
• Stronger corporate governance and financial accountability
• Enhanced credibility for companies operating in global markets

Conclusion

Mauritius uses International Financial Reporting Standards (IFRS) as its official accounting standard, making it one of the leading jurisdictions that follows globally recognized financial reporting practices. Combined with mandatory auditing requirements and compliance with International Standards on Auditing (ISA), the IFRS framework reinforces Mauritius' reputation as a reliable and attractive destination for international business and investment.

=> Full Information: Accounting in Mauritius: Professional Services, Companies and Regulations