• Register
Return to: Home > News > Standards > Gains of IFRS in Europe must be protected: Prada

Gains of IFRS in Europe must be protected: Prada

The gains of IFRS in the European Union (EU) and Europe's commitment to the standard as a global reference have to remain intact and undiluted, IFRS Foundation Trustees chairman Michael Prada said yesterday at a Frankfurt meeting of the organisation.

Prada said although Europe should consider whether improvements to its own processes and endorsements systems can be made, Europe should protect the "hard-fought gains" that the EU's investment in IFRS's work has brought about.

In that sense Prada said the IFRS Foundation's trustees have been keen on contributing to the work of Philippe Maystadt, the special advisor to EU Commissioner Michel Barnier, who recently released a draft report with recommendations on how to enhance the EU's role in promoting high quality accounting standards.

However Prada added: "It might seem minor to tweak the standards for use in Europe, to better reflect European preferences, or to revise the endorsement criteria so that non-endorsement of a standard or interpretation becomes more likely.

"I understand that Maystadt has cautioned against this in his draft report. Nonetheless, it would be easy to in advertently cross the Rubicon. A tweak here, a failure to endorse there and very quickly you can have standards that are once again incompatible with other parts of the world."

Otherwise, Prada said, a decade of progress unwound and he made use of the saying "Nostalgia isn't what it used to be" to highlight that the good-old days of European accounting, as he called it, were not as good as some think.

"Most of us are old enough to remember life in Europe before IFRS. I certainly am! Before, IFRS, Europe had more accounting languages than member states," Preada stressed.

Related link
IFRS Foundation

Top Content

    ARGA team, assemble!

    The new top team has been named that will see in root-and-branch reform at the Financial Reporting Council (FRC) as it transforms into the Audit, Reporting and Governance Authority (ARGA). Will the new duo be as dynamic as some are hoping? Robin Amlôt reports.

    read more

    FASB: a quest for simpler standards

    FASB chair Russell Golden addressed the IMA 2019 Annual Conference and Expo at the Sheraton San Diego Hotel and Marina, California, on 18 June. IMA immediate former chair-emeritus Alex Eng acted as moderator. Joe Pickard reports.

    read more

    The future of audit, and how to get there

    Two recent reports peer into the future of the audit profession. One analyses what an audit should offer, while the other looks at how the audit process will be carried out. Robin Amlôt takes a closer look at both.

    read more

    EFAA elects new president, focuses on digital future

    EFAA’s new president, Salvador Marin, outlined his key priorities for the next two years at the organisation’s 2019 annual general meeting, while outgoing president Bodo Richardt offered advice. Robin Amlôt reports.

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.