The International Organization of Securities Commissions (IOSCO) and the IFRS Foundation have announced a Statement of Protocols covering a programme of work to promote and facilitate transparency within capital markets.
The initiative will provide an important framework for future cooperation.
The statement outlines objectives for interactions between IOSCO and the IFRS Foundation including strategic financial reporting issues and the sharing of information aimed at supporting both parties in the application of IFRS Standards on a globally consistent basis. It builds on existing protocol arrangements between IOSCO and the IFRS Foundation issued in 2013.
Michel Prada, Chair of the IFRS Foundation Trustees, commented: “IOSCO has long supported the work of the IFRS Foundation, and the input of IOSCO and its members has helped shape the development and implementation of IFRS Standards. This initiative will provide an important framework for future cooperation as we work toward the shared goal of high quality standards for the global capital markets.”
Regulation Responsibilities
Capital markets authorities are responsible for regulating the form and content of financial reporting for those markets. The foundation’s objectives include the development of a single set of enforceable and globally accepted financial reporting standards (IFRS Standards) and the promotion of their use and rigorous application.
IOSCO supports the work of the foundation through its standard-setting body, the International Accounting Standards Board, in its efforts to develop IFRS Standards as a high-quality set of accounting standards that can be applied globally.
Ashley Alder, who was recently appointed as Chair of the IOSCO Board, added: “This new protocol between IOSCO and the IFRS Foundation will further enhance the way in which the two organisations work together to ensure that global capital markets are founded on sound and transparent financial disclosure. "
