This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

ESMA responds to the Review of Structure and Effectiveness of the IFRS Foundation

  • ESMA (European Securities and Markets Authority) (dark gray) Image

20 Nov 2015

The European Securities and Markets Authority (ESMA) has responded to the IFRS Foundation's Request for Views on its Review of Structure and Effectiveness.

ESMA makes the following main points in its response to the IFRS Foundation's Request for Views.

  • Setting financial reporting standards for listed entities, rather than public sector or not-for-profit organisations, should remain the main focus and priority of the IASB.
  • The IASB and IFRS Foundation should aim to create the circumstances that contribute to the consistent application of IFRS across jurisdictions and industries. The establishment of Transition Resource Groups has been useful in bridging the gap between standard-setting and implementation and the Trustees should formalise the structure and use of these.
  • ESMA views the IFRS Interpretations Committee as indispensable but calls on the Trustees to further enhance its functioning and effectiveness. It also calls for a re-assessment of the composition of the Committee to ensure that it contains an appropriate balance of professional backgrounds.
  • ESMA considers that the basic governance arrangements of the IFRS Foundation continue to be appropriate.  While it does not object to the Trustees proposed organisations changes, it suggests that additional efforts to safeguard the public accountability of the IFRS Foundation be reflected in the changes to the Constitution.

The full response can be found on the ESMA website.

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.