The adoption of the International Financial Reporting Standard (IFRS) by South Korea's private companies and public corporations “will enhance credibility in accounting information and industry,” says Yoon, Jeung-Hyun, the minister of Strategy and Finance.
At Korea's 6th annual crisis management meeting, Yoon says the government will enhance the transparency of accounting information and convergence with international standards so as to maintain the nation’s fiscal health.
“Beginning with financial statements for the fiscal year 2009, we will adopt accrual accounting into the national accounting system," reveals Yoon. "This will enable us to maintain fiscal health and manage government assets efficiently.” He also called on government agencies to be thoroughly prepared to ensure a smooth transition to the accrual accounting system.
He shares that some have raised concerns about Korea’s fiscal health amid the fiscal crisis in some Southern European countries. "But Korea remains in good financial shape, consistent with international standards,” he stresses.