CESR welcomes IASB’s guidance on fair value

05 November 2008

EU preparers, auditors and other stakeholders should consider the educational guidance published by the IASB when preparing, auditing, reviewing or enforcing financial statements, CESR notes.

CESR welcomes the actions taken by the IASB to develop guidance on measuring and disclosing the fair value of financial instruments in non-active markets. CESR hopes that the additional educational guidance prepared by the IASB Expert Advisory Panel will contribute to ensure that confidence is restored and transparency is enhanced in financial markets.

 

The IASB published on 31 October 2008 a report prepared by the Expert Advisory Panel on how to measure and disclose the fair value of financial instruments in markets that are no longer active. The report has taken into consideration the statements by the US FASB, the US SEC, and the Office of the Chief Accountant and FASB Staff.

 

“EU preparers, auditors and other stakeholders should consider the educational guidance published by the IASB when preparing, auditing, reviewing or enforcing financial statements”, Fernando Restoy, Chair of the CESR’s working group on financial reporting standards said.

 

CESR also encourages the IASB to finalise the ongoing work on the outstanding issues regarding the IAS 39 and IFRS 7 amendments that are currently being discussed as soon as possible in order to help companies and auditors in the preparation of the next interim and the annual financial statements and will monitor all new developments in this regard.

 

Press release

 

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