Benefits and challenges regarding the IFRS implementation: lessons from the emerging economies
Author:
Oana-Sanziana BENDOVSCHI
JEL:
M41, M48
DOI:
10.20869/AUDITF/2016/135/320
Keywords:
IFRS, emerging economies, benefits,
obstacles, Romania.
Abstract:
The interest shown by the users of financial statements
for the convergence or harmonization process in terms
of financial reporting has increased in the last decades,
not only in the case of the developed countries, but also
for the emerging economies. Although analysed in
publications in terms of financial reporting less than the
developed countries, the emerging countries have
become a point of interest, being identified by the
international investors as potential areas for extending
their businesses. The purpose of this article is to identify
the global context regarding the adoption of the
International Financial Reporting Standards (IFRS) or
the alignment of the national standards with the IFRS
and to establish some benefits and obstacles met during
this process. The analysis focuses on several emerging
countries with experience in IFRS implementation and it
also brings forward the case of Romania, which is
treated separately.
This paper represents a contribution to the literature in
terms of IFRS implementation within the emerging
countries, which is still limited, and it focuses on the
case of Romania, recently affected by changes of the
local regulations for the financial reporting. There are a
small number of studies regarding the situation in
Romania after the entering into force of the new financial
reporting regulations.
The research methodology was based on literature
review in order to acquire and to centralize some
conclusions regarding the experience of IFRS
application in several emerging countries. The focus on
the case of Romania consists of collecting information
using questionnaire, followed by centralizing and
interpreting the results in order to outline some
conclusions.
Abstract(94KB)
Article(198KB)