INTERNATIONAL FINANCIAL REPORTING STANDARDSREGIONAL POLICY FORUM

Communiqué
Beijing·April, 2009
The Ministry of Finance of the People’s Republic of China (thereafter the MoF)
hosted 2009 International Financial Reporting Standards (IFRS) Regional Policy
Forum in Beijing on April 16, 2009. About 80 participants from Australia, Brunei,India, Indonesia, Japan, the Republic of Korea, Malaysia, New Zealand, Singapore,
China, Hong Kong SAR and Macau SAR attend the Forum. The participants included
senior representatives of accounting standard setters, professional accounting bodies,
central banks, financial oversight bodies and government officials. Mr. Wang Jun,Vice-Minister of the MoF, Mr. Geoff Miller, General Manager, Australian Treasury,
Sir David Tweedie, Chairman of International Accounting Standards Board, twoBoard members and one Director attended the forum.
On 2 April 2009, the G20 London summit was held. Since the outbreak of thefinancial crisis, many issues have aroused great attention. Those of special interest toparticipants, include:•reduce the complexity of accounting standards for financial instruments,• strengthen accounting recognition of loan-loss provisions by incorporating abroader range of credit information,• improve accounting standards for provisioning, off-balance sheet exposuresand valuation uncertainty,•achieve clarity and consistency in the application of valuation standards
internationally, working with supervisors,• make significant progress towards a single set of high quality global
accounting standards,• within the framework of the independent accounting standard setting process,
improve involvement of stakeholders, including prudential regulators andemerging markets, through the IASB’s constitutional review.
Convening the Forum shortly after the G20 summit is of great significance toexplore the relationship of the financial crisis and accounting, discuss further actions
to be taken in the region to overcome the crisis, as well as promote cooperation
amongst regional accounting standards setters and related regulators and supervisors.
Forum Sessions
Participants of the Forum considered:• the relationship of the global financial crisis and the financial reporting
framework;• the actions taken by jurisdictions in the region in response to the financialcrisis;1• international convergence and regional influence in the international
standards setting environment;• financial reporting requirements for non-publicly accountable entities andprogress in eXtensible Business Reporting Language (XBRL).
These sessions highlighted the far-reaching impact of the financial crisis on the global
economy and accounting, as well as the significance of a single set of high quality
global accounting standards. They also indicated the importance of taking into fullaccount the realities and opinions of different regions through the global convergenceof accounting standards.
Participants shared views on the issues relating to the financial crisis and its impact, as
well as actions already taken and plans for the future in various countries and regions
to address the crisis, addressed the significance of establishing a cooperation
mechanism between regional standards setting bodies, and discussed the financial
reporting requirements for non-publicly accountable entities and the development ofXBRL.
Outcomes
1.
Participants expressed their appreciation for the actions of IASB in response tothe financial crisis, and agreed to further strengthen cooperation to improve thecurrent system of IFRSs.
2.
Participants confirmed that the objective of financial reporting is to improve
the quality of information available for capital providers so as to enhance theoperation of the world’s capital markets.
3.
Participants agreed that the establishment of a single set of high quality global
accounting standards is an important ingredient in a well-informed market that would
assist in the prevention of financial crises and the development of the global economy;
countries and regions should actively promote their own accounting standards toconverge with the IFRSs, with the aim ultimately of adopting the IFRSs.
4.
Participants agreed that the accounting standards setting bodies should
strengthen cooperation with the relevant regulators and supervisors in coordinating
the accounting standards with related regulatory requirements, and to promoteconsistent implementation of accounting standards.
5.
Participants agreed that in the development of the IFRSs the realities andopinions of different regions should be given due consideration. It is critical tointensify cooperation among the regional accounting standards setting bodies and toset up a corresponding mechanism for the region to make contribution to thedevelopment of the IFRSs.
Participants agreed that the next IFRS Regional Policy Forum will be hostedby Singapore.

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