Commission issues communication on EU accounting strategy

The EU Commission has issued a communication outlining its proposed strategy on accounting issues. The Communication indicates that the Commission will come forward by the end of 2000 with detailed proposals to require all EU companies listed on a regulated market to prepare consolidated accounts in accordance with International Accounting Standards (from no later than 2005). Member States would be allowed to extend this requirement to cover unlisted companies and individual accounts. To ensure consistency and comparability, the policy would also cover listed banks and insurance companies. This proposal complements the Commission proposals regarding the reform of the prospectus directive to introduce a single passport for issuers.