IFAC supports the reform of executive compensation packages, the adoption of a single set of high-quality global accounting standards, and increased resources for the World Bank and international development banks.
The International Federation of Accountants (IFAC) supports the goals expressed by G20 Leaders at the Pittsburgh Summit last week to advance "a framework for strong, sustainable, and balanced growth," which includes the reform of executive compensation packages, the adoption of a single set of high-quality global accounting standards and increased resources for the World Bank and international development banks. IFAC recommends that these goals remain priorities and that G20 leaders act on them at a national level.
Two issues at the top of IFAC's agenda, which were reflected in its submission to the G20 finance ministers in July, are the need for governments to address corporate governance issues and to move ahead on implementing common global standards, not only in relation to accounting, but also with respect to auditing and auditor independence.
IFAC has recommended that the G20 nations adopt and implement the Organization for Economic Cooperation and Development's (OECD's) Principles of Corporate Governance and that they ask the OECD to address the design of remuneration systems within its corporate governance framework.
In addition to supporting global adoption of IPSASs, IFAC has long advocated the adoption of International Financial Reporting Standards and International Standards on Auditing. Global standards will create a level playing field in the interpretation and exchange of financial information and contribute to economic and financial stability.
IFAC also recognizes the key role the World Bank plays in helping to achieve more balanced economic growth and applauds the G20 nations for their commitment to it. IFAC continues to work closely with the World Bank to develop and strengthen the accountancy profession, particularly in emerging countries.
© IFAC - International Federation of Accountants
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article