The Limping Bull 4.1

In the last few months, the new International Financial Reporting Standards have been the focus of the business press all over the developed world ("developed world" is not politically correct. I should say "Economically Developed Countries"). Since taking effect on January 1 2005, the IFRS/IAS are no longer an issue of remote consequences for businesses and other entities.

The business community has shown hostility (or rather wariness) to the IFRS for, they say, it imposes huge accounting and auditing expenses on reporting entities. But the new standards were elaborated and implemented pour le meilleur (for the best) .

In fact, many observers and analysts remind us that the new standards were developed to "boost economic growth" and cut costs associated with compiling consolidated financial statements. Ultimately, this will lead to greater transparency and understandability of financial statement which in turns means a broader reach for companies wishing to raise capital. And with hamonisation of the reporting requirements there will be less resources needed to "translate" prospectus, financial statements and other documents.

To Be Continued ... Stay Tuned