Introduction of IFRS
The International Financial Reporting Standards (IFRS) are a set of international accounting standards developed by the International Accounting Standards Board (IASB). The EU has mandated companies operating in the region to adopt IFRS since 2005. Subsequently, a large number of countries have adopted IFRS and as of June 2016, 143 countries and regions (Hong Kong, Macau, EU) have mandated listed companies to adopt IFRS. IFRS are no doubt recognized as the international accounting standards.
In Japan, the Business Accounting Council published the interim report in June 2009, allowing voluntary adoption of IFRS to consolidated financial statements of listed companies from the fiscal year ended March 2010. Subsequently, the revision of the Regulation for Terminology, Forms and Preparation of Consolidated Financial Statements, etc. in October 2013 expanded the scope of companies subject to voluntary adoption of IFRS.