To assist entities in submitting their annual financial statements to the Accounting and Auditing Regulator (“ACAR”) in accordance with the Cambodian Law on Accounting and Auditing, as well as the relevant sub-decrees and prakas, ACAR issues the official currency exchange rates for use in financial reporting.
Entities whose functional currency is not the Khmer Riel are required to present their financial statements in Khmer Riel to comply with Article 22 of the Law on Accounting and Auditing.
Below are the official exchange rates issued by ACAR for the respective financial years, which you may apply in preparing your financial statements:
| Year | Closing Rate | Average Rate | Issued by | Issued date |
| 2024 | 4.025 | 4.071 | ACAR | 31 Dec 2024 |
| 2023 | 4.085 | 4.110 | ACAR | 2 Jan 2024 |
| 2022 | 4.117 | 4.087 | ACAR | 3 Jan 2023 |
Why you need this exchange rate issue by ACAR?
To comply with Article 22 of the Law on Accounting and Auditing, entities must present their financial statements in Khmer Riel. If you use USD as the functional currency in recording and preparing your annual financial statements, you are still required to present them in Khmer Riel. The exchange rate issued by ACAR is considered the official rate to be used in preparing these financial statements.
Which financial reporting standard do you need to apply?
You will need to deal with each specific financial reporting standard for the translation. For example, if your entity is the NGO and you are using CFRS for NFPE, then you will need to translate follow A17, which is describe in the standard as follow:
A17. All amounts shall be presented in Khmer Riel. If the entity has transactions, resources or commitments that are not in Khmer Riel, it shall translate these to Khmer Riel as follows:
- Transactions are translated using the exchange rate on the date of the receipt or payment in Khmer Riel; and
- Monetary resources and commitments are translated using the exchange rate at the reporting date.
You will need to deal with IAS 21 if your financial statements are prepared under full CIFRS, Section 30—Foreign Currency Translation if your financial statements are prepared under CIFRS for SMEs, or Consistency of Presentation/A17 if your entity’s financial statements are prepared under CFRS for NFPEs.
