The use of International Financial Reporting Standards has benefited the European Union, boosting the quality and transparency of the bloc’s financial reporting, according to a joint letter from the heads of the IFRS Foundation and the International Accounting Standards Board (IASB).
The letter was sent this month to the European Commission, which has under way a consultation on the effect of IFRS in the EU. The EU adopted the use of the reporting standards in 2005. The 11-page letter, signed by IFRS Foundation Board of Trustees Chairman Michel Prada and IASB Chairman Hans Hoogervorst, said the unified financial reporting rules have had clear benefits. The IASB’s role is to develop the standards while the non-profit foundation promotes adoption of their use around the world
