28/11/2019 - IFRS & Regulation: Searching for Common Ground - Europe has a leading role to play in shaping future financial reporting standards
High-level speakers discussed the dynamics between IFRS standards and regulation of financial reporting at the conference organised by the European Financial Reporting Advisory Group (EFRAG).
Brussels, 28 November 2019: EFRAG invited high level speakers to discuss the interaction between IFRS standards and regulation in a two-panel conference "IFRS & Regulation: Searching for Common Ground" today in Brussels. Welcoming delegates to the conference, EFRAG Board President, Jean-Paul Gauzès, said:
“It was my pleasure to welcome today to this conference a wide range of financial reporting experts and stakeholders and representatives of the enforcement community. Together we brought different perspectives to discuss the interaction between financial reporting, notably IFRS Standards, and enforcement. I am confident that the views exchanged today will contribute to EFRAG’s mission to serve the European public interest by developing and promoting European views in the field of financial reporting.”
Speaking at the event, Michel Prada, former IFRS Foundation Trustees Chairman and former Chairman of the French Regulator AMF stated:
“We must pay tribute to the leading role of the EU in the success story of IFRS around the globe. While I have my views on the lively debates that took place in the recent years, I’m also relieved by the fact that they are mostly behind us. We must now focus on future challenges, raised by implementation, digitisation and ESG reporting. On this last point, which requires a new form of standard setting and reporting, I believe accountants can provide a useful but limited contribution to a complex and multidisciplinary undertaking.”
Steven Maijoor, Chair of the European Securities and Markets Authority (ESMA) also provided a keynote speech, stating:
“It is necessary to bring non-financial information to a level of maturity that is comparable to that of IFRS information and to complement IFRS financial statements. This will enable investors and other stakeholders to further assess the potential for value creation of issuers. To help this process, it is urgent to update the Non-Financial Reporting Directive with binding measures that specify, in more detail, principles and requirements for the preparation of non-financial disclosures.”
The first panel discussion looked at whether IFRS should be more rule-based to support enforcement. Pervenche Berès, former MEP, member of the AMF committee on Climate and Sustainable Finance, set the scene and the panel discussion was moderated by Alain Deckers, Head of unit, Corporate reporting, audit and credit rating agencies – DG FISMA.
Hans Buysse (EFRAG Board member, EFFAS Executive Management Committee member and Chair of Belgian Association of Financial Analysts), Karsten Ganssauge (member of IFRS Interpretations Committee), Araceli Mora (University of Valencia, EFRAG Academic Panel member and former EFRAG TEG member), Claes Norberg (Business Europe Sounding Board Chair and EFRAG Board member) and Tine Svae (Senior Supervisory Adviser Financial Reporting, The Financial Supervisory Authority of Norway) contributed to a lively debate.
The second panel approached the question of IFRS and Regulation from another angle: Should regulators issue implementation rules for principle-based IFRS? Chiara Del Prete, EFRAG TEG Chairwoman, introduced the discussion and Stig Enevoldsen, EFRAG Board member, moderated the discussions.
Panel members Fabio Goia (Intesa Sanpaolo Head of Accounting Policy and Regulatory Rules and member EFRAG FIWG), Richard Martin (ACCA Head of Corporate Reporting), Darrel Scott (IASB Board member), Luca Serafini (Banca d’Italia Head of Financial Statements and Supervisory Reporting Division, Chair of Exploratory Group on Accounting Developments and Financial Stability of the ESRB) exchanged views on the topic.
For more information see the EFRAG website.