News
Chairman of SEC, Mary Schapiro backs the IASB-FASB agreement
06 November, 2009
Chairman of the SEC (US Securities and Exchanges Commission) Mary Schapiro, said in an interview on 5 November that she was encouraged by a renewed commitment by the US and international standard setters to transparency and arriving at agreed accounting standards.
The FASB (Financial Accounting Standards Board) and IASB (International Accounting Standards Board) have recently committed themselves to intensifying efforts to meet international and American accounting rules, with a view to bringing in a truly global language for finance.
The FASB and the IASB have committed to a deadline in June 2011 for implementation. However, the standards set will need SEC approval before they are implemented by American companies, as many are reluctant to take on the new rules. The SEC has not committed to a timetable for the US adoption of the rules.
However, with the signing of a memorandum of understanding to greater transparency between the IASB and FASB yesterday, Schapiro released a short statement saying that she was greatly encouraged by the commitment of the IASB and the FASB to provide greater transparency to the standard setting process and their convergence efforts. She believes that these efforts will result in improved financial information provided to investors.