Chinese, Japanese and Korean standard setters plan to further cooperate on issues concerning IFRS after re-signing a mutual recognition agreement.
The agreement for more cooperation was reached at a meeting hosted by the Korea Accounting Standards Board held in Seoul to discuss various topics including, business combinations under common control, the progress of the International Accounting Standards Board (IASB) agenda and its current projects (Revenue Recognition, Leases, Financial Instruments and Insurance Contracts).
The three standard setters reached a consensus to:
– Improve mutual understanding of IFRSs through sharing domestic issues relating to IFRSs and discussing ways to resolve those issues in a coordinated manner;
– Share views on the current projects of the IASB in a manner that contributes to more constructive development and amendment of IFRSs; and,
– Provide full support for the successful operation of the IFRS Foundation Asia-Oceania Office that was opened in Tokyo in October 2012.
The next Three Countries Accounting Standards Setters’ meeting will be held in Japan in 2013.
Since the first meeting held in 2001, the meeting has grown to be a premier forum of discussion for accounting issues among not only the three countries of China, Japan and Korea but also the entire Asia-Oceania region and is expected to play an even greater role in the future on the international stage.