Reporting Standards Supported NZ Research

Use of International Financial Reporting Standards Supported by New Zealand Research

Research commissioned by the Securities Commission recommends New Zealand adopt International Financial Reporting Standards (IFRS).

The research, by Professor Keitha Dunstan of the Centre for Accounting, Governance and Taxation Research at Victoria University of Wellington, also recommends that New Zealand adopt IFRS at the same time as Australia and the European Union.

The Securities Commission commissioned the study to inform the debate on the future financial reporting infrastructure for New Zealand’s capital markets.

The study considers the issues relating to the proposal made by the Accounting Standards Review Board that New Zealand adopt the IFRS issued by the International Accounting Standards Board.

The research recommends a strong, independent, and representative standard-setting body in New Zealand to be funded from a number of different sources.

It also recommends replacing the financial information disclosure requirement of the Securities Regulations 1983 with the requirement to comply with generally accepted accounting practices defined in the Financial Reporting Act 1993, consistent with the Securities Commission’s proposed changes to the Regulations.

The research also recommends that New Zealand adopt IFRS in both the private and public sectors, i.e. on a sector neutral basis.

The full text of the study is available from http://www.sec-com.govt.nz

© Scoop Media