The Albania Corporate Financial Reporting Enhancement Project (CFREP) was set up to create a transparent policy environment and effective institutional framework for corporate financial reporting in line with best international practices, aligned with the EU acquis communautaire with a view to Albania’s aspiring to EU accession. The project was active from 2010 to 2013.
The project’s components included:
- Improving the legal framework in the area of corporate financial reporting
- Strengthening the Capacity of the National Accounting Council
- Establishment of an Audit Oversight System
- Improving accounting and auditing curricula for university education and professional certification
- Project management, strengthening reform capacity, and monitoring and evaluation
The project developed institutional commitment to change, and provided a sound foundation for the next phase of reforms. Project results, by areas of engagement, can be summarized as follows:
- Improvements to the legal framework by identification of gaps between existing legislation and the EU acquis; adoption of a legislation harmonization plan;
- National accounting standard setter strengthened by enhanced ability of National Accounting Council (NAC) to set national standards and update international financial reporting standards (IFRS) translations;
- Improvements to audit oversight by the establishment of a public oversight system for independent auditors and by undertaking initial capacity building;
- Improved accounting and auditing education by increasing the awareness of universities and professional bodies of modern accountancy curricula;
- Government capacity for corporate financial reform (CFR) strengthened, including monitoring and evaluation. The project assisted with reform preparation, improved stakeholders' ability to manage the reform agenda, and provided a sound basis for a potential follow-up project.