The Hong Kong Institute of Certified Public Accountants (HKICPA) failed to renew an 11-year mutual recognition agreement (MRA) with the U.S. International Qualifications Appraisal Board (IQAB) over failure to waive the requirement for one-year of local experience.
Announcement of the MRA non-renewal happened amid deteriorating China-U.S. relations, particularly after the recent U.S.-ASEAN Special Summit. The outcome of the summit in May was a pledge to establish an ASEAN-U.S. Comprehensive Strategic Partnership, a U.S. effort to upgrade ASEAN relations and curtail Chinese influence.
The MRA between HKICPA and IQAB allows certified accountants in Hong Kong and the United States to practice in each other’s markets. IQAB represents the National Association of State Boards of Accountancy (NASBA) and the American Institute of Certified Public Accountants (AICPA). The MRA was first signed on Oct. 24, 2011, with a renewal in 2020 and expiry on Dec. 31, 2022….