Ethio Telecom Stays on Top of IFRS Conversation

25 October 2019

Mergers, Acquisitions and Financial Results

Ethio telecom, the state telecom monopoly, is scheduled to fully adopt International Financial Reporting Standards (IFRS) before the end of this year.

For the first adoption of IFRS, a set of accounting standards that provide a common global language for business activities, the company has hired KPMG East Africa for close to one million dollars. KPMG secured the project, which involves asset valuation for first time IFRS adoption, with contract delivery expected within 70 working days of the contract signing.

The management of the company and KPMG had a kickoff meeting beginning last month. Ethio telecom has also formed a steering committee led by the CEO to follow up on the process.

For years, Ethio telecom has been using Generally Accepted Accounting Principles (GAAP) to prepare its financial reporting, according to Frehiwot Tamiru, CEO of the company, which divides its operations into six zones and 17 regions across the country.

"For the adoption of the system, employees of the company already took training," she told Fortune. Read the full article on Addis Fortune here.