We reaffirmed our commitment to convergence and are pleased to have the opportunity to strengthen the significant participation of ASBJ and Japan in general in the international standardization process. This agreement should allow Japanese companies to publish financial statements prepared in accordance with Japanese accounting standards, without corrective financial statements in the EU and other capital markets, using IFRS. Ikuo Nishikawa, Chairman of the Accounting Standards Board of Japan (ASBJ), and Sir David Tweedie, President of the International Accounting Standards Board (IASB), today jointly announced an agreement (known as the Tokyo Agreement) to accelerate convergence between Japanese GAAP and International Financial Reporting Standards (IFRS), a process launched in March 2005. Ikuo Nishikawa commented on the agreement as follows: „As part of the agreement, the two Boards of Directors will endeavour to eliminate by 2008 the substantial differences between Japanese GAAP and IFRS (as defined in the July 2005 ERS equivalency assessment), with the remaining differences eliminated on June 30, 2011 or before June 30, 2011. Although the 2011 target date does not apply to the new, larger IFRS standards that are being developed and will come into force after 2011, the two bodies will work closely together to get the international approach accepted in Japan when new standards come into force (see attached copy of the agreement). The Japanese Accounting Standards („Japanese GAAP”) are developed by the Accounting Standards Board of Japan (ASBJ), established in 2001. As part of an Agreement reached in August 2007 between ASBJ and the International Accounting Standards Board (IASB), which is known as the Tokyo Agreement, ASBJ committed to converging the requirements of Japanese accounting standards with International Financial Reporting Standards (IFRS). The results of the agreement were jointly communicated by ASBJ and IASB in June 2011. . A communiqué was issued at a meeting of China, Japan and the Republic of Korea, held by video conference on September 1, 2020.
. A synthesis of the latest developments from the IMF, CDSB, GRI, ESAS, SSE, BCBS, IIRC, BMJV, ISAR and JPX. . AsBS and IASB denounce the Tokyo agreement on achieving the convergence of accounting standards by 2011 to certain companies that meet certain criteria as outlined above. ASBJ is Japan`s private sector accounting authority. All accounting standards established by the ASBJ are subject to approval by the Financial Services Agency (FSA), a Japanese government agency. In October 2013, the FSA revised its departmental regulations to encourage continued application of IFRS standards in Japan. This revision eliminated two requirements that provided for companies eligible for THE application of IFRS standards. As a result, the number of companies eligible for IFRS has been increased from 621 to 4,061 and covered virtually all listed and unlisted companies that prepare consolidated financial statements for listing purposes.