MADISON, Wis.-The U.S. remains among several countries that have yet to require financial institutions to adopt certain practices, and as a result the adoption of a uniform set of international accounting standards remains a distant goal.
That was among the points made during a webinar on International Financial Reporting Standards (IFRS) hosted by World Council of Credit Unions (WOCCU). The 90-minute broadcast from WOCCU's Madison office included participation from financial experts in the U.S., Canada and Macedonia, the latter two of whom were connected remotely. Participants from 12 countries logged on for the discussion.
Demand for the topic emerged from member countries, many of which are already in the process of transitioning to international standards, according to Dave Grace, WOCCU VP-association services. "More than 100 countries are actively moving towards international standards," Grace noted. The U.S. is the largest country that has yet to embrace IFRS.
WOCCU noted that for many U.S. regulators, GAAP's rules-based methodology is more stringent and demanding than IFRS standards, which are more principles-based and rely on faithfulness of the representation of financial data. The country's eventual migration to IFRS, while likely inevitable, still may be three to four years away, she explained.
In Canada, the process already is underway for most credit unions, which will be required to comply with IFRS standards in reporting their financial data for all fiscal years beginning on or after Jan. 1, 2011.
To view the webinar in its entirety, please visit www.woccu.org/ifrs.
