IASB plans new advisory body

THE IASB plans to create a new 12-member advisory group of national standards setters and regional bodies.

The advisory group, to be known as the Accounting Standards Advisory Forum (ASAF), is intended to provide the IASB with technical advice and will formalise its relationship with the standard-setting community.

The IASB currently works through a series of bilateral agreements or other more informal arrangements, which are now insufficient with so many countries using IFRS.

"The answer is to establish a multilateral forum where representatives of the standard-setting community can come together with the IASB, to discuss our work as well as other topics related to establishing IFRSs as global accounting standards," said Hans Hoogervorst, chairman of the IASB.

Under the proposals laid out by the IASB, the board will be made up by three representatives each from Europe, the Americas and Asia-Oceania, with Africa and the rest of the world getting an additional one seat each.

All participants in the ASAF would be expected to sign a memorandum of understanding making a commitment to a global single set of accounting standards, the IASB said.

The board would meet four times a year with the IASB in London and each meeting would be for 1.5 days.

Crucially, the ASAF would be chaired by the IASB.

A public consultation document is open for comment until 17 December 2012.