IASB Welcomes PAFA General Assembly Resolution to Adopt IFRS
The International Accounting Standards Board (IASB) welcomes the resolution passed by the Pan African Federation of Accountants (PAFA) General Assembly, to adopt International Financial Reporting Standards (IFRSs) and the International Financial Reporting Standard for Small and Medium-sized Entities (IFRS for SMEs).
The IASB acknowledges the resolution as a broad policy statement that requires action from the 39 constituent members of PAFA, which was established in May 2011 to accelerate the development of the accountancy profession in Africa.
Whilst some PAFA members have already adopted IFRSs or are taking steps towards doing so, the Board hopes that the PAFA policy will encourage others to follow.
Commenting on the decision, Hans Hoogervorst, Chairman of the IASB, said: “This is a very positive move by PAFA member states to work collectively for the adoption of both IFRSs and the IFRS for SMEs across Africa. By improving clarity and comparability for existing and prospective investors, I believe that our standards have the potential to be of substantial economic benefit across the continent.”