Incoming IASB chief talks post-convergence agenda

HANS HOOGERVORST, incoming chairman of the International Accounting Standards Board, has highlighted the role of the standards setter once the global standards are completed.

Assuming his post today, the former Dutch minister of finance spoke of an imminent consultation on the achievements so far, saying it will signpost the work to be done after completion of the remaining standards.

Hoogervorst underlined the importance of convergence with the US, saying there are “missing pieces” of the jigsaw. He called on US Securities and Exchange Commission to take steps towards adoption, saying that US companies “would welcome some certainty in the near future” and noting that other major economies are looking to the US for direction.

A non-technician, Hoogervorst revealed his relevant experience, “strong belief” in transparent financial reporting and deep interest in accounting. He thanked outgoing chairman David Tweedie for his “truly remarkable achievement”, concluding: “If ever there was a champion for transparency in financial reporting, it is David.”

Hoogervorst was chairman of the Dutch securities and market regulator and co-chaired the Financial Crisis Advisory Group established in late 2008 by US standard setters and the IASB. He takes on a number of outstanding projects, including financial instruments and revenue recognition; a decision on adoption by the US is expected by the end of the year.

Related reading

Fiona Westwood of Smith and Williamson.