The goal to achieve a global set of financial reporting standard is vital for the credibility of the world's capital markets, said the Association of Chartered Certified Accountants (ACCA).
It said new “improved standards” paved the way for European listed companies to adopt the International Accounting Standards (IAS) in 2005.
In turn, IAS should give more thought to the due process of creating universally applicable standards, ACCA said in a statement Tuesday.
It welcomed the 13th revision of IAS on Dec 18 by the International Accounting Standards Board (IASB).
ACCA chief executive, Allen Blewitt, said: “The improved versions of the standards on financial instruments are essential for the transition to IAS in Europe and elsewhere.”
He said failure to agree could undermine much of the hard work undertaken to bring Europe to the verge of IAS adoption.