International financial reporting standards (IFRS) are specific organizational and monetary standards and frameworks for financial reporting that have been adopted in 113 countries including India, Australia and the European Union.
IFRS are created and regulated by the IFRS Foundation, an independent non-profit organization. The goals of the foundation are to develop and promote international standards in order to facilitate international communication and ameliorate financial reporting processes globally.
The standards set forth by IFRS make sure all relevant and important information is included in a quality financial statement. An IFRS financial statement must be understandable, reliable, comparable, relevant and truthful, while also providing all the data required. Since its standards are well-understood and trusted by investors worldwide, IFRS allows countries to compete on a global scale.