May 25, 2017

Trustees of the IFRS Foundation met Thursday with Japan’s Financial Accounting Standards Foundation to issue a joint statement reaffirming a commitment to global accounting standards as more Japanese companies move to adopt International Financial Reporting Standards.

Public companies in Japan have the option to choose among IFRS, Japanese GAAP or U.S. GAAP. However, since they received the IFRS option in 2010, 164 publicly listed companies now have either already adopted or announced plans to adopt IFRS, according to the IFRS Foundation. That figure represents around 30 percent of the total market capitalization of all listed companies in Japan.

Japan’s Financial Accounting Standards Foundation, the Accounting Standards Board of Japan, the IFRS Foundation Trustees and the International Accounting Standards Board reaffirmed their commitment to achieving a single set of high-quality, global accounting standards in a joint statement Thursday at the IFRS Foundation’s Asia-Oceania office and pledged to promote further cooperation in the region.

The organizations also held a joint event and panel discussion in Tokyo at which Deputy Prime Minister Taro Aso delivered the opening remarks.

Separately, the International Accounting Standards Board also said Thursday it has begun a post-implementation review of IFRS 13, the fair value measurement standard, to see whether the standard meets its objectives. The standard was issued in May 2011 and took effect Jan. 1, 2013. The IASB posted a request for information to solicit views on how well the fair value measurement standard has worked and is asking for comments by Sept. 22, 2017.

“Post-implementation Reviews form an important part of our work to maintain IFRS Standards, and I encourage our stakeholders to share their experience with IFRS 13.”

[Accounting Today]