Full Convergence with IFRS in 2012

We hereby inform that on 23 December 2008 The Indonesian Institute of Accountants as the professional body in Indonesia mandated with promulgation of accounting standards issued a formal statement announcing its plan to have Indonesian GAAP fully converged with the International Financial Reporting Standards (“IFRS”) by 1 January 2012.

Being fully aware that implementation of a set of high quality standard such as the IFRS will facilitate comparability and increase transparency in the business environment, IAI embarked on the journey to convergence with IFRS by adopting, back in 1994, IASC’s Framework for the Preparation and Presentation of Financial Statements as the conceptual framework for Indonesian GAAP.

Since that time, and especially since the late 1990s, an increasing number of IAS/IFRS have been adopted with little or no modification so that most of our standards are now based on the IFRS, and as mentioned earlier, by 2012 we hope that companies in Indonesia (in particular those with public accountability) will apply the IFRS in its entirety.

We wish to share this development with the international community so that our commitment to a single set of high quality global accounting standards will be well understood.

Sumber : www.iaiglobal.or.id