Report on the February IFRS Advisory Council meeting
18 Mar, 2014
A report on the IFRS Advisory Council meeting held in London on 24-25 February 2014 has been posted to the IASB's website. Topics discussed in addition to the usual updates on the IASB’s and IFRS Foundation Trustees’ activities included the governance review of the International Public Sector Accounting Standards Board (IPSASB), the leases project, the future of corporate reporting in light of integrated reporting and digital reporting, and updates on the Trustee's education initiative and investor engagement strategy.
We have previously posted Deloitte observer notes from the meeting.
Highlights from the meeting include:
- IPSASB governance review. Whilst there was broad consensus that public sector accounting was in need of improvement, it was not considered feasible, at least in the short term, to extend the remit of the IFRS Foundation and Monitoring Board to encompass the IPSASB. Discussion included funding issues, undesirable organisation impacts and the risk of increased political pressure and influence
- Leases project. There was overwhelming support for including all leases 'on balance sheet', but there was a feeling that convergence with US GAAP, whilst very important, should not interfere with the completion of the project
- Future of corporate reporting. There was strong support for the current approach of involvement of the IASB with Integrated Reporting (<IR>), under which the IASB does not aim for being the owner of the developments but rather collaborates with the International Integrated Reporting Council (IIRC) and other standard-setters and stakeholders, while continuing its focus on its competencies. In relation to digital reporting, the Council advised the IASB to 'stay current on technological developments'. More broadly, the possibility of research projects on non-GAAP measures and further enhancements on management commentary were raised.
The next meeting of the IFRS Advisory Council is scheduled for 9-10 June 2014 in London.
The full IASB report on the IFRS Advisory Council meeting is available on the IASB web site.
