EUROPEAN UNION: ESMA Publishes Guidance on Annual Reporting Standards

Friday October 27 2017

On the 27^th October 2017, the European Securities and Markets Authority (ESMA) published guidance on the International Financial Reporting Standards (IFRS) Standards. These Standards must be met by Listed Companies when they are publishing their Annual Reports.

The guidance details a list of priorities which must be considered by listed companies, and their auditors, when preparing and auditing their 2017 financial statements.

The priorities stress the importance of measurement and disclosure of non-performing loans by credit institutions, the ongoing relevance of the fair presentation of financial performance and the disclosure on the impact of Brexit.

ESMA also points out that for the first time the requirements of the amended Accounting Directive will be applied to the publication of Annual Financial Reports. This will mean that the management report shall, where appropriate, include references to, and additional explanations of, amounts reported in the annual financial statements in order to satisfy the fair review requirement as laid down by the directive.

For additional information please click the link above