The IFRS Foundation Monitoring Board discussed the importance of oversight activities of the Trustees, including their responsibilities towards the International Accounting Standards Board (IASB) and the International Sustainability Standards Board (ISSB).
The meeting in London highlighted the need for maintaining “high quality” IFRS accounting standards for financial reporting.
The Monitoring Board, joined by Trustees chair Erkki Liikanen, IASB chair Andreas Barckow, and ISSB chair Emmanuel Faber, commended the IASB on its progress following the Third Agenda Consultation.
This includes new projects on intangible assets and statement of cash flows and related matters.
The upcoming Fourth Agenda Consultation was also welcomed, as it seeks stakeholder feedback on the IASB’s strategic direction.
The board discussed the ISSB’s implementation and adoption initiatives, noting the release of educational materials to support the application of IFRS S1 and S2 standards.
The Monitoring Board stressed the need for consistency and interoperability of sustainability disclosures across capital markets and expects IFRS S1 and S2 to aid in developing sustainability-related disclosures.
The financial foundation of the IFRS Foundation was highlighted for the continued standard-setting work of the IASB and ISSB.
This board notes the necessity of independence, sound governance, and high-quality staff for both boards. It also supported stakeholder engagement to maintain a high standard of work.
The multi-location model is anticipated to support the adoption of IFRS S1 and S2 standards globally, while connectivity between the IASB and ISSB promotes the “Two Boards under One Foundation” approach.
The board endorsed the publication of the Due Process Handbook amendments draft to strengthen IFRS Foundation governance.
It will collaborate with the Trustees to ensure governance, due process, and oversight of the IASB and ISSB’s standard-setting work.
In addition, there were talks on the Monitoring Board’s 2025-2026 Work Plan that is set to be published once finalised.
The meeting also saw Takashi Nagaoka re-elected as chairman until April 2027.
He said: “As Chair, I am pleased that the Monitoring Board had a constructive dialogue with the IFRS Foundation at this critical moment. On behalf of my fellow Monitoring Board members, I would like to welcome the appointment of four new Trustees and re-appointments of two Trustees.”
