The APEC Business Advisory Council (ABAC) submitted its comments to the International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) on the insurance contracts (IFRS4) exposure draft.
As the private sector dialogue partner of the Asia-Pacific Economic Cooperation (“APEC”) Forum, the APEC Business Advisory Council (“ABAC”) is charged with providing private sector perspectives to policy makers and stakeholders from the APEC region, and to facilitate APEC initiatives.
In ABAC’s previous reports to APEC Economic Leaders, we have consistently expressed our support for adoption of IFRS throughout the APEC region, as part of APEC’s goal of encouraging regulatory coherence, enhancing the development of regional capital markets and promoting sustainable economic growth. At the same time, ABAC noted that the implementation of IFRS should be undertaken in a manner that minimizes adverse consequences for real economic activities and that reflects each economy’s business practices.
The topics covered in these ABAC comments are:
– Other general remarks
The ABAC appreciates the opportunity to provide comments to the Boards. Given the potentially adverse impact that major accounting change for insurance contracts may have on the insurance industry and its roles in long-term investment and in funding of retirement security in the APEC region, we hope that the IASB and FASB will take into careful consideration the concerns and recommendations we have provided. We would be happy to continue a dialogue with you on these matters.