Vice President Boediono Calling Regulators to Support IFRS Convergence in Indonesia

Bali, 23 May 2011

“The convergence of Indonesian Accounting Standard with International accounting standard is not an easy pathway. IFRS Convergence is not just an accounting issue, but the main purpose of the IFRS convergence is to improve the quality and transparency of financial statements of companies in Indonesia.” Stated Boediono in his keynote speech on 5th IFRS Regional Policy Forum.
“I am glad that the IFRS convergence is also supported by other regulators such as Bapepam-LK, Bank Indonesia, and Ministry of State Owned Enterprises which require companies under their supervision to use IFRS-based GAAP. Hopefully, this support can also be followed by other regulators, so that business people in Indonesia can enjoy the synergies of these regulators.” added Boediono again to call other Indonesian regulators to support the initiative of the Indonesian Institute of Accountants in completing the IFRS convergence.
Vice President Boediono officially opened the 5th IFRS Regional Policy Forum today in Kuta Bali, a strategic event where 300 people from 21 countries will gather for two days in discussing the challenges and opportunities of IFRS Adoption in Asia-Oceania Region.

Also attended the event are Indonesian Vice Finance Minister, Dr. Any Ratnawati, Bali Governor, I Made Mangku Pastika, and Government Officials from Ministry of Finance, Bank Indonesia, Supreme Audit, and the chairman of the International Accounting Standard Board.

Indonesian Institute of Accountants (IAI) has the honor to host of The 5th IFRS Regional Policy Forum 2011 held in Bali, Indonesia, from 23 to 24 May 2011. IFRS Convergence is a global phenomenon where more countries in the world adopt the international financial reporting standards. Indonesia, as one of G20 member countries are also subject to the agreement of G20 countries to comply with IFRS. Indonesian Financial Accounting Standards Board of Indonesian Institute of Accountants (DSAK-IAI) has started this convergence process since 2009 and was determined to finish it in 2012. However, successful implementation of IFRS in a country need a strong support from capital markets regulators, tax authorities and other regulators. Therefore, it is important to discuss how are the strategies and the impact of IFRS convergence for the adopting countries

"This event is very important and strategic for Indonesia because we could explain the world how the development of IFRS convergence in Indonesia. This event was organized by the IAI, but we receive great support from the Government of Indonesia. It will also convey the message to the world that our government strongly supports the ongoing convergence of IFRS." Said Prof. Mardiasmo, Chairman of National Board of Indonesian Institute of Accountants (IAI), which also will give a speech at this event.
"IFRS Regional Policy Forum is the only international event which will be attended not only by the standards setters but also by the regulators and government officials from 21 countries." Ito Warsito as the Chairman of Steering Organizing Committee of this event adds.
This event is an annual event in the Asia-Oceania for the accounting standards setters, policy makers, regulators and governments to jointly discuss wide issues about the role of each stakeholders in financial reporting and how financial reporting have an impact on policy making and IFRS implementation. The 5th IFRS Regional Policy Forum received an overwhelming response from participants throughout the Asia-Oceania and will be attended by more than 300 participants from 21 countries which is representative of the constituent body of accounting standards, the central bank, money market regulator, the regulator of taxation, government and stock exchanges. 21 countries will attend on this Forum are Australia, New Zealand, Malaysia, Japan, China, Hong Kong, Singapore, Korea, Pakistan, Cambodia, India, Indonesia, Philippines, Britain, America, Iraq, Macau, Myanmar, Brunei Darussalam, Thailand and Maldives.
"This international event will be presenting 33 speakers and moderators from 16 countries. This is an international event that is very rare in Indonesia. Of course, we feel very honored to host such an important event. Chairman and member of the International Accounting Standards Board (IASB) also will be present at this event so that Indonesian concerns can be heard by them and also by the international forums. Hopefully our voice may affect the development of IFRS." Rosita Uli Sinaga, Chairman DSAK-IAI which has been actively represented Indonesia in international forums for the standard setters.
IFRS Regional Policy Forum in Indonesia is a the fifth event, previously IFRS Regional Policy Forum were held in several countries, Australia in 2005, 2007 in Japan, 2009 in China, Singapore was the host in 2010. IFRS Regional Policy Forum current theme is "Towards One Global Standards: The Challenges and Opportunities of IFRS Adoption in the Asia-Oceania Region"
Some interesting topics to be discussed include how is role of local accounting standards board in jurisdiction adopting IFRS. Will the IFRS Adoption reduce the role of accounting standard compiler in each State or even enhance their role as partners IASB? Indonesia, Japan, India, Korea and also IASB Chairman, Sir David Tweedie, will be the panelists in this session. Other sessions are no less interesting discussing the role of capital market regulators to the success of IFRS convergence. Representatives of the capital market regulator from India, Indonesia, Malaysia and Japan will be the panelists to discuss this matter.
At the end of this event will be made a communiqué that strengthen the commitment of IFRS convergence in 21 countries of Asia-Oceania region.
This two-day event will be followed also by a seminar on 25-26 May which presents speakers from Indonesia and abroad.