Less complexity and more scrutiny?

A recent report has suggested that European MEPs want more scrutiny of accounting standards issued by the International Accounting Standards Board (IASB) with an emphasis less complex rules, in addition to calling for scrutiny of whether standards allow tax fraud as well as improved governance of the IFRS Foundation, which governs the IASB.

In the case of IFRS 9, it has also been suggested that committee members have also taken issue with the absence of a quantitative impact for IFRS 9 Financial Instruments, for which it claims that no data will be available before 2017. It has called on the Commission to make sure that IFRS 9 serves the EU long-term investment strategy, especially by restricting provisions, which could introduce excessive short-term volatility in financial statements.