The APEC Business Advisory Council (ABAC) submitted its comments to the International Accounting Standards Board (IASB) on the Conceptual Framework for Financial Reporting.
“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 Asia-Pacific region, and to facilitate APEC initiatives. In forming its views on financial issues, ABAC draws on insights from a broad range of industry, public sector, multilateral and academic experts, particularly through the platform of the Asia-Pacific Financial Forum (APFF), which ABAC initiated in 2012 and APEC Finance Ministers adopted in 2013 as one of their official policy initiatives managed by ABAC.
Among the key priorities that APFF has identified in its most recent report to APEC finance ministers1 is the development of the Asia-Pacific region’s insurance and pension fund industries, in view of the substantial need to expand the long-term investor base for the growth of infrastructure investment and capital markets and for meeting the needs of aging societies. Accounting plays a critical role in this process; thus we have adopted APFF’s recommendation to undertake dialogues on regulation and accounting issues and how these impact the long-term business of insurers and longevity solutions.
In this context, we welcome the opportunity to provide comments on the IASB consultation document dated May 2015 on the Conceptual Framework for Financial Reporting. In submitting these comments, we do not intend to respond to all the questions, but rather to provide high-level recommendations from our vantage point as representatives of the region’s business community. In particular, we wish to highlight specific questions that may affect the ability of insurers and pension funds to play the role that our policy makers are hoping they can play in the development of our region.”
The topics covered in these ABAC comments are:
– Use of Other Comprehensive Income (OCI)
– Business Activities
– Long-term Investments
“Again, the ABAC appreciate the opportunity to provide these comments to the Boards. ABAC encourages the IASB to collaborate with experts in the APFF Insurance and Retirement Income Work Stream in further developing ideas on ways to accommodate the various recommendations raised in the letter.
As a business community body that works closely in a public private partnership with APEC, we welcome continued dialogue and opportunities for future collaboration with IASB on these matters to promote stability in our region and the global economy, while facilitating the further development of the insurance and pension industry’s tremendous potential to contribute to sustained, balanced and inclusive growth in the Asia-Pacific region and the world. ”
ABAC letter to IASB on Conceptual Framework for Financial Reporting