Mr Jim Obazee, the Managing Director of National Accounting Standard Board (NASB), says 2012 has been set aside as International Financial Reporting Standards (IFRS) adoption date for the listed companies. Obazee told the News Agency of Nigeria (NAN) on Thursday in Lagos that this was to ensure that the companies listed in the Nigeria Stock Exchange (NSE) adhered to the transition process.

He said that the process was in phases to ensure smooth transition, adding: “The transition from National Accounting Standards (NAS) to IFRS is in phases.” “While 2012 is adoption date for all the listed companies, other entities expected to pay taxes on their non-charitable activities will adopt IFRS in 2013.

Also, Small and Medium Scale Enterprises (SMEs) adoption date is 2014, while Federal, State and Local Governments will adopt the International Public Accounting Standards in 2015,” Obazee said. He said that for the transition process which started in 2009 financial year report, the companies were expected to have two financial reports, one for NAS and the other for IFRS.

The managing director said that the 2011 reports would serve as comparative figures, adding that the opening balance for all financial reports in 2011would be the 2010 figure. He said that the companies would need the 2010 IFRS reports to be able to get the opening balances for 2011. Obazee said that the board would facilitate the software vendor for IFRS as all reporting standards for 2011 would be tailored to IFRS.

He said that other entities such as charity organisations, churches and mosques would be enlightened on how to prepare the IFRS reports, adding that they would be expected to pay taxes on their non-charitable activities. According to him, being IFRS-compliant means that all the practices abroad will be replicated to ensure that our financial reports are at par with the global standards.