Luanda — The bill related to the legal framework for the oversight of external audits of public interest entities was definitively approved on Thursday, in Luanda, by a unanimous vote of the MPs, during the 2nd Extraordinary Plenary Meeting of the 4th Legislative Session of the 5th Legislature.

This bill aims to establish an oversight system for audit activities on Public Interest Entities (PIEs) in the country, thereby ensuring the integrity, efficiency and adequate functioning of the market through the development and improvement of structures and requirements related to the exercise of this activity.

The initiative will provide greater visibility to the auditors and the auditing profession, while also contributing for the improvement of the country's business environment and the sustainable development of the national capital market.

Furthermore, the bill introduces the designation "Public Interest Entities" into the Angolan legal system. These are defined as entities whose visibility, economic weight, and public relevance, the latter assessed based on the nature of their activities, its size and number of workers, requires greater rigor and reliability of the accountability documents.

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These are entities who play a vital role in the stability of the financial system and market regularity, of which the rigor, correction and the reliability of the accountability documents proves to be crucial.

This classification will demand the implementation of a regime of additional requirements regarding transparency, oversight, independence, and quality control.

However, the intention is to assign primary responsibility for the supervision of auditors providing services to PIEs to the Capital Market Commission (CMC), with a view to maintaining and strengthening investor confidence in the information contained in financial projections.

ACC/CS/MRA/jmc