Credit institutions, financial companies, and decentralized financial systems (DFSs) shall close their accounts on December 31 of each year.

The accounts shall be certified as true and fair by one or more statutory auditors chosen from the list of auditors registered with the Court of Appeal or any other authorized body acting in lieu thereof. The appointment of the auditor is subject to the approval of the Banking Commission.

No person may exercise the duties of statutory auditor within any of the aforementioned institutions unless their appointment by said institution has received the prior approval of the Banking Commission.

The approval procedure shall be determined by the Banking Commission.

With respect to credit institutions and financial companies, Circular No. 02-2018/CB/C dated September 18, 2018, regarding the terms and conditions for conducting statutory audits of WAMU credit institutions and financial companies, provides that statutory auditors must obtain approval from the Banking Commission prior to assuming their duties (Article 9).

Regarding decentralized financial systems, Instruction No. 006-06-2010 dated June 14, 2010, concerning statutory audits in the decentralized financial systems (DFSs) of the Member States of the West African Monetary Union (WAMU), specifically its appendix, states that the appointment of a statutory auditor and their alternate for DFSs subject to Article 44 of the law applicable to these institutions is subject to the approval of the WAMU Banking Commission. For other DFSs, the auditor and their alternate are selected subject to the approval of the Minister of Finance.

When assessing applications for the approval of the appointment or renewal of auditors’ mandates, the Banking Commission reviews the following components :

1. With regard to credit institutions and financial companies :

• the addressee of the application, namely the Chairman of the Banking Commission;
• the submission of the application to the National Directorate of the BCEAO in the country where the regulated institution is established ;
• the identity of the natural persons designated to represent the selected audit firms for the performance of their missions ;
• the specification of the term of office and the financial years covered by the application ;
• the submission of the required documents, namely :

• a copy of the minutes of the General or Constitutive Meeting at which the statutory auditors were appointed or their mandate renewed ;
• a profile presenting the selected audit firm and/or a curriculum vitae (CV) dated and signed by the designated natural persons ;
• registration certificates from the National Order of Chartered Accountants (ONECCA); and
• the written undertakings of the statutory auditors.

2. With respect to DFSs :

• an application for approval of the proposed statutory auditor and their alternate ;
• the minutes of the General Meeting of members or shareholders who selected or reappointed the persons concerned ;
• the technical references of the firm or the certified expert appointed to audit and certify the financial statements ;
• the selection methodology ;
• the certificate of registration of the individual or firm on the roll of the National Order of Chartered Accountants (ONECCA) for the current financial year ; and
• the terms of reference of the mandate entrusted to them. (To enhance the independence of these auditors, their selection shall be conducted through a competitive bidding process in accordance with procedures adopted by the governing bodies.)

The approval may be revoked by the Banking Commission.

The summary table below outlines the categories of regulated institutions concerned, the number of statutory and alternate auditors required, and the duration of their terms of office.