A public consultation has launched on the development of global financial reporting guidance for not-for-profit organisations.
Unlike the private and public sectors, there is currently no international reporting standard for the not-for-profit sector.
The consultation is being launched by International Financial Reporting for Non-Profit Organisations (IFR4NPO), a five-year joint initiative which was set up to develop this guidance by the Chartered Institute of Public Finance and Accountancy (CIPFA) and Humentum, a global not-for-profit organisation working with humanitarian and development organisations.
It is seeking to gather opinions from finance staff and NPO senior leaders, as well as funders, regulators, auditors, banks and members of the public from around the world.
Karen Sanderson, CIPFA head of programme at IFR4NPO, said: “This long-awaited project will produce consistent financial reporting guidance for NPOs all over the world. Today’s consultation puts us one step closer towards putting that guidance into practice.
“We encourage anyone with an interest in financial best practice in the non-profit sector to come forward and make their views known.”
Samantha Musoke, Humentum project director, IFR4NPO, added: ““It is so important to hear different perspectives from around the world so that the guidance can be useful and relevant for preparers and users.
“We have worked hard to make it as easy as possible to access and respond to the consultation paper so that even those who have never responded to an accounting standard consultation before can do so.”
The consultation is open for comments on general financial reporting issues until 30 July 2021, and for sector-specific accounting issues until 24 September 2021. It can be found here.