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(R23)International Adoption Status of IFRS in Selected Locations as of June 2010

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msk2222's version from 2018-02-01 01:25

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Europe The EU requires companies listed in EU countries to adopt IFRS beginning with their 2005 financial statements. Switzerland requires that Swiss multinational companies listed on the main board of the Swiss Exchange must choose either US GAAP or IFRS. Some countries (for example, Georgia, Macedonia, Moldova, Serbia) use IFRS as adopted locally. Georgia, for example, uses the IFRS 2007 edition. Some countries (for example, Czech Republic, Finland, Germany, Ireland, Lithuania, Netherlands, Norway, Poland) permit some foreign companies listing on local exchanges to use other specified and/or well-recognised standards.
North AmericaThe US SEC accepts IFRS for non-US registrants and no longer requires a reconciliation to US GAAP for filers using IFRS. The US FASB is engaged in numerous projects with the IASB to achieve convergence of US GAAP and IFRS. The US SEC announced its intention to decide by 2011 whether to incorporate IFRS into financial reporting by US issuers. In Canada, listed companies are required to use IFRS beginning 1 January 2011. The year ending 31 December 2010 is the last year of reporting under current Canadian GAAP. In November 2008, Mexico announced plans to move to IFRS in 2012. Most of the island nations off the southeast coast of North America require or permit the use of IFRS by listed companies.
Central and South AmericaCompensation of employees, rent, interest, and profits.entral America, Costa Rica, Honduras and Panama require the use of IFRS. El Salvador, Guatemala, and Nicaragua permit the use of IFRS. Brazil requires that listed companies and financial institutions use IFRS, starting with periods ending in 2010. Brazilian GAAP continues to converge to IFRS. Ecuador requires listed companies, other than financial institutions, to use IFRS beginning in 2010. Chile requires major listed companies to use IFRS for 2009 financial statements. Other companies are permitted to use IFRS. Venezuela permits listed companies to use IFRS. The expectation is that listed companies will be required to use IFRS by 2011. Peru and Uruguay require the use of IFRS as adopted locally. In Argentina, convergence of ARG GAAP to IFRS is in progress. Listed foreign companies are permitted to use their primary GAAP, including IFRS, but should also include a reconciliation to ARG GAAP. Bolivia is moving towards convergence with IFRS. In Colombia and Paraguay, the adoption of IFRS is in early stages of consideration.
Asia and Middle EastListed companies in a number of countries—including India, Indonesia, and Thailand—report under local GAAP, and plans exist to either converge with or transition to IFRS. Companies in China report under Chinese accounting standards (CAS). CAS are largely converged with IFRS and China’s November 2009 proposed Roadmap targeted 2011 as the year for completion of convergence of IFRS and CAS. Financial institutions are required to prepare financial statements in accordance with IFRS in addition to their statements prepared using CAS. In Japan, some companies that meet certain criteria may use IFRS, otherwise companies report using Japanese GAAP. Japan has launched a joint project with the IASB to reduce differences between Japanese GAAP and IFRS. In Malaysia, domestic listed companies report using local GAAP and foreign companies listed on Malaysian exchanges are permitted to use IFRS. Malaysia plans to have full convergence with IFRS by January 2012. In Hong Kong, companies incorporated in Hong Kong normally report under Hong Kong FRS. These are largely converged with IFRS. Korea requires the use of IFRS beginning 2011. Early adoption was permitted from 2009. Listed companies are required to report under IFRS in a number of other countries, including Kyrgyz Republic, Lebanon, and Turkey. A number of countries, including Pakistan, Philippines, and Singapore, require use of IFRS as adopted locally. In Singapore, IFRS is permitted for use by companies that list on other exchanges that require IFRS or if permission is given by the Accounting and Corporate Regulatory Authority. In a number of countries, IFRS is required for some types of entities and permitted for others. For example, Armenia requires IFRS for financial organizations and permits its use for others, Azerbaijan requires IFRS for banks and state owned public interest entities, Israel requires IFRS for domestic listed companies except for banking institutions, Kazakhstan requires IFRS for domestic listed companies, large business entities and public interest entities, Saudi Arabia requires IFRS for all banks regulated by the Saudi Arabian Monetary Agency (central bank), and Uzbekistan requires IFRS for all commercial banks and permits IFRS for others. Vietnam requires IFRS for state owned banks and permits IFRS for commercial banks; all other listed companies report under Vietnamese accounting standards. Some countries, including Afghanistan and Qatar, permit the use of IFRS.
OceanaAustralia requires Australian reporting entities to use IFRS as adopted locally. Foreign companies listing on local exchanges are permitted to use IFRS or their primary GAAP. The Australian regulator may require additional information. New Zealand requires use of IFRS as adopted locally (NZ-IFRS).
AfricaMany African countries, including Botswana, Ghana, Kenya, Malawi, Mauritius, Namibia, South Africa, Swaziland, Tanzania, Uganda, Zambia, and Zimbabwe, require IFRS for listed companies. Morocco requires the use of IFRS for consolidated financial statements of bank and financial institutions and permits its use for others. Mozambique requires the use of IFRS for financial and lending institutions and for certain large entities. Use of IFRS is permitted by other entities beginning in 2010. Egypt requires the use of local GAAP which is partially converged with IFRS. The Nigerian Federal Executive Council approved 1 January 2012 as the effective date for convergence of accounting standards in Nigeria with IFRS. In some countries, financial statements are required to be prepared in accordance with the Organization for the Harmonization of Business Law in Africa accounting framework. These countries include Cameroon, Cote D’Ivoire, and Equatorial Guinea.
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