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RBI asks urban co-op banks to get ready for IFRS-news07032012

Wednesday, March 07, 2012

The Reserve Bank of India (RBI) asked urban co-operative banks (UCBs) to take necessary steps to ensure smooth transition to new international accounting norms International Financial Reporting Standards (IFRS) from April 2014.

'UCBs are advised to take necessary steps to ensure that they are in readiness to adopt to IFRS convergence IAS from April 1, 2013, or April 1, 2014, as the case my be,' the RBI said in a notification.

It said that banks and NBFCs should upgrade their skills, manage information system and technology capabilities for smooth transition to new financial reporting standards to manage complexities and challenges of international standards.

According to a roadmap of the Corporate Affairs Ministry, all large commmercial scheduled banks are mandated to prepare their books of accounts according to the IFRS from April 1, 2013.

Besides, smaller urban cooperative banks and non-banking finance companies ( NBFC) are to converge their opening balance sheets with IFRS from April 1, 2014.
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