Legal and Finance: Key Nations Sign Up for Accounting Standards
An overwhelming majority of countries intend to opt for International Financial Reporting Standards, according to a survey by accountants Grant Thornton. The findings, taken from GAAP Convergence 2002, found that more than 90 per cent of a total 59 countries surveyed were on board.
Seventy-two per cent of those intending to move towards IFRS have a formal policy in place to achieve this, in most cases aimed initially at listed companies.
Mark Taylor, partner at Grant Thornton and a specialist in advising listed companies, said: 'This year's survey reveals that great progress is being made towards achieving the vision of a single worldwide language of financial reporting, especially for listed companies.
'Our findings indicate that the International Accounting Standards Board is increasingly viewed as the appropriate body to develop a global accounting language that provides high quality financial information and enhances transparency.
'The fact that a vast majority of countries have an active agenda for IFRS convergence is very encouraging, but there is still much work to be done. Despite greater moves towards convergence, obstacles still remain to achieving full and consistent adoption of the standards in the near future. …