“Progess” gained on accounting convergence

THE INTERNATIONAL accounting standard setter is “making progress” on converging with US accounting.

IASB chairman Hans Hoogervorst said that the three main projects to converge: Financial Instruments, Revenue Recognition and Leasing; and Insurance, were all heading towards agreement.

Speaking at Ernst & Young’s IFRS seminar in Moscow, Russia, Hoogervorst said: “There are many practical challenges facing the SEC in making the decision to [converge].

“I don‘t deny that they are real. However, both I and my counterpart at the FASB have made it clear that a continued programme of convergence by another name is not an acceptable way forward. I do believe that the US will ultimately come on board. Quite simply, they need us and we need them.”

Related reading