The Standards of Accounting in Hong Kong

Accounting is an important financial factor in Hong Kong. Accounting crawls into anything that deals in finances either directly or indirectly. Hong Kong accounting bases it foundations on the best policies applicable to the complex structure of finances in Hong Kong along with local interpretations of these policies. Businesses in Hong Kong become more sophisticated with each passing day which not only requires that the numbers be analyzed, but also leadership and expertise be provided to all the sections of the companies to make sure that they are successful in their operations.
The Hong Kong Institute of Certified Public Accountants (HKICPA) is the agency that is credited with the formulation, regulation and promotion of the accountancy profession practices in Hong Kong. The set of accounting standards set by the HKICPA is known as the Hong Kong Accounting Standards or HKAS in short. The main responsibilities of the HKICPA are
 The registration and regulation of all professional accountants in Hong Kong
 Formulation of financial reporting standards as well as auditing standards in Hong Kong
 Ensuring the promotion of the accountancy profession to businesses and the public at large
The HKICPA is the only professional agency given the mandate by law to register and issue certificates to the certified public accountants in Hong Kong. The body has over 28,000 registered members with over 13,000 registered students. The registered members are entitled to be identified as “Certified Public Accountant” or CPA abbreviation in short. A CPA with more than seven years in the Institute may apply for advancement of fellowship. The advancement of fellowship is governed by the Professional Accountants By-law 22. After advancement, the CPA shall be allowed to use the designation “Fellow of the Hong Kong Institute of Certified Accountants” or the abbreviation FCPA in the name.
The HKICPA emerged from Hong Kong Society which was established on the 1 January of 1973. The body is governed under the Professional Accountants Ordinance which spells that the working of the Institute be based entirely on public interest. The Institute’s responsibilities as such encompass a wider range. It’s expected to ensure that the entry into the profession is of high quality as determined through its CPA qualification program. It also has to promulgate the audit and financial reports as well as the ethical standards in Hong Kong. It also has the mandate to regulate and promote efficient and good accounting practices in Hong Kong. All these are to ensure that Hong Kong’s place as an international financial center is well taken care of without compromising public interest.