Dear national standard-setters,
Welcome to our newsletter dedicated to keeping you up to date on the activities of the IFRS Foundation.
More than 120 delegates from 69 countries and jurisdictions joined the IFRS Foundation’s 22nd World Standard-setters Conference on 25 and 26 September 2023.
Delegates attended in person in London and online to hear a range of speakers specialising in accounting and sustainability reporting. The sessions broadcast on LinkedIn and via the IFRS Foundation website attracted around 10,000 views.
Andreas Barckow, International Accounting Standards Board (IASB) Chair, kicked off the two-day conference that marked half a century of comparability and transparency in the global standard-setting partnership.
Andreas and Nili Shah, Executive Technical Director, presented an IASB update. Andreas said how invaluable the understanding of accounting issues in jurisdictions is in developing high quality IFRS Accounting Standards and indicated the key role national standard-setters play in maintaining their consistent application.
Emmanuel Faber, Chair of the International Sustainability Board (ISSB), spoke about the use of the IFRS Sustainability Disclosure Standards issued in June 2023, and the support that will be available to jurisdictions before the effective date of the Standards in 2024.
He said that the Standards provide an accounting language to be used with the financial statements to assist investors in decision-making.
The ISSB has responded to demand from jurisdictions for implementation support by creating capacity building materials that will be available at the end of November when the COP28 meeting starts and publishing an adoption guide available by the end of the year.
In an international perspectives panel on ISSB's Standards, Cecilia Kwei from the Hong Kong Institute of Certified Public Accountants, reminded her audience that IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information includes requirements companies already apply in financial reports based on IFRS Accounting Standards. Given IFRS S1 uses terminology and concepts that will already be familiar to those applying the IFRS Accounting Standards, companies will be in a stronger footing to begin implementing the IFRS Sustainability Disclosure Standards when they come into effect next year.
Regulators from Mexico, New Zealand, Poland and the UK shared their perspectives on the prospective Accounting Standard for subsidiaries without public accountability.
Bertrand Perrin, IASB Member, emphasised that this new Accounting Standard will reduce unnecessary costs for companies that prepare financial statements.
In the conference’s final plenary session, the audience quizzed the Primary Financial Statements project team, which is drafting a new IFRS Accounting Standard on presentation and disclosure that the IASB plans to issue in 2024.
Nick Anderson, IASB Member, said that the IASB is reviewing minor issues, and is now focusing on delivering the new Standard.
Seven breakout sessions covered the following topics:
The WSS Conference was a truly fantastic networking event, filled with valuable insights on accounting and sustainability. The IFRS Foundation looks forward to reconnecting with national standards-setters at the WSS Conference in September 2024.
Breakout session on update on financial instruments projects. IASB Technical Staff Jaco Jordaan presenting.
Breakout session on Proportionality and application of IFRS S1 and IFRS S2. ISSB Member Ndidi Nnoli-Edozien presenting.
Breakout session on Provisions—Targeted Improvements. IASB Member Patrina Buchanan presenting.
Breakout session on Consistent application of IFRS Accounting Standards: hot topics. IASB Member and IFRS Interpretations Committee Chair Bruce Mackenzie presenting.
The IASB met on 19 September 2023 to discuss its project on Business Combinations—Disclosures, Goodwill and Impairment. The IASB decided to publish an Exposure Draft containing proposed amendments:
The IASB’s proposals build on its preliminary views in the Discussion Paper Business Combinations—Disclosures, Goodwill and Impairment.
The IASB is now working to publish an Exposure Draft in the first half of 2024.
On 16 October 2023, the IFRS Foundation signed a protocol with the ASEAN Capital Markets Forum (ACMF) during its Annual Conference in Indonesia. The protocol serves as a guide for ACMF’s future engagement with the ISSB in the ASEAN region including for discussions on pathways to adoption of the ISSB's Standards in the region, capacity building initiatives to support the implementation of IFRS S1 and IFRS S2, and to facilitate the provision of input by the ACMF into ISSB's Standards development.
The Brazilian Ministry of Finance and the Comissão de Valores Mobiliários (CVM) have announced that the ISSB's Standards will be incorporated into the Brazilian regulatory framework, setting out a roadmap to move from voluntary use starting in 2024 to mandatory use on 1 January 2026.
On 11 October 2023, the ISSB published blackline documents detailing revisions to the SASB Standards. These revisions are informed by feedback on the Exposure Draft Methodology for Enhancing the International Applicability of the SASB Standards and SASB Standards Taxonomy Updates, published in May 2023. Comments are not requested on these blackline documents. The documents will be available online until 10 November 2023 to allow stakeholders to familiarise themselves with the revisions. The revisions will not be final until ratified and issued by the ISSB, anticipated in December 2023. The blackline documents can be found on the SASB.org project page.
We’ve rounded up news from the IFRS Foundation’s NSS Team.
If you have any questions regarding cooperation of the IFRS Foundation with national standards-setters, please reach out to Elena Kostina, IASB Technical Staff (email@example.com).