EBA欧洲银行-J2012-JC-115-Letter-IASB-request-information-review-of-IFRS-for-SMEs_2页_102kb

IASB's Request for Information on IFRS for SMEs Summary

Core Content

The document outlines the response from the European Supervisory Authorities (ESAs) to the International Accounting Standards Board (IASB)'s request for information regarding the upcoming review of IFRS for SMEs. It is issued by the Joint Committee of the ESAs, representing the European Banking Authority (EBA), the European Insurance and Occupational Pensions Authority (EIOPA), and the European Securities and Markets Authority (ESMA).

Main Objectives

The ESAs emphasize the following key objectives in their response:

• To ensure the stability of the financial system and the transparency of financial markets.
• To protect investors and consumers by promoting high-quality and comparable financial statements.
• To maintain public accountability for all financial institutions, regardless of their size.

Key Points

• Public Accountability: The ESAs argue that financial institutions, irrespective of their size, must be held to the same high standard of public accountability due to their critical role in the financial system and the potential risks they pose to stakeholders.
• Risk to Stakeholders: Even small financial institutions can pose significant risks to individual customers, investors, depositors, and policyholders. This risk is further amplified by their interconnectedness within the financial system.
• Importance of Financial Information: The financial information of financial institutions is deemed critical for their stakeholders, including supervisors, and should not be simplified.
• Position on IFRS for SMEs: The Joint Committee does not support the use of IFRS for SMEs for financial institutions. They believe that such standards would not adequately reflect the financial situation and performance of these entities.
• Proportionality and Costs: While the ESAs recognize the costs associated with compliance and advocate for a proportionate approach, they maintain that the objectives of financial reporting, particularly providing decision-useful information, take precedence.

Conclusion

The ESAs strongly oppose the application of IFRS for SMEs to financial institutions, advocating instead for the continued use of full IFRSs. They emphasize that the public interest and the integrity of the financial system require that all financial institutions maintain the same level of transparency and accountability.

Key Information

• Date: 10 December 2012
• Document ID: JC/2012/115
• Author: Hans Hoogervorst, Chairman of IASB
• Recipient: HaaS (likely a placeholder for the IASB or relevant stakeholders)
• Cc: Andrea Enria (Chair of EBA), Gabriel Bernardino (Chair of EIOPA)
• Main Concern: The use of IFRS for SMEs by financial institutions may compromise the transparency and accountability required for such entities.
• Recommendation: The ESAs urge the IASB to continue prohibiting the use of IFRS for SMEs for financial institutions and similar entities.