CIMA F1 Syllabus A. Regulatory Environment Of Financial Reporting - Local GAAP and IASB - Notes ^{8 / 8}

Interaction of local GAAP bodies with the IASB

Close co-ordination between the IASB and National standards setters is important.

The IASB is exploring ways in which to integrate more closely with national process.

Such integration may grow as the relationship between IASB and national standards setters evolves.

Advantages of adopting IFRS as your local (GAAP)

IFRS are quick to implement which reduces the costs involved.
Easier to adopt standards which have already been developed.
Facilitates comparability with other countries who use IFRS as their local GAAP.

A disadvantage of adopting IFRS as your local (GAAP)

Specific local variations that might be needed will not be accommodated.