The nine-page report contains the f

The nine-page report contains the following three key policy recommendations, to promote further use of IFRSs in Japan:
1. Ease eligibility to use IFRSs voluntarily
The BAC has concluded that two of three existing eligibility criteria to use IFRSs should be eliminated. The current requirements 1) that an entity shall be a public company and 2) that an entity is conducting financing or business activities internationally, would be deleted. The remaining criteria is that an entity has established a system to ensure appropriateness of consolidated financial statements in accordance with IFRSs. This initiative will make it possible for entities 1) that are going public and 2) that have no larger foreign subsidiaries to use IFRSs and thus will contribute to significant increase in the population of entities that are permitted to use IFRSs in Japan.