Title: A critical review of the 2018 conceptual framework of IASB: a shift towards the primary users of the GPFRs

Authors: Shivneil Kumar Raj; Mohammed Riaz Azam

Addresses: Department of Accounting and Finance, The University of Fiji, Fiji ' Department of Accounting and Finance, The University of Fiji, Fiji

Abstract: The purpose of this study is to critically evaluate IASB's justification for designating financiers as the GPFRs' primary users in the 2018 and 2010 conceptual framework as compared to the 1989 conceptual framework. This study applied a qualitative meta-analysis method to combine earlier qualitative studies to create deeper meanings through an interpretive process, signalling the IASB's stance on emphasising the information needs of financiers in the decision-making process. We found that financiers' trust is a crucial component of continued capital-market investment and an entity's success, supporting IASB's justification for emphasising their needs in the GPFRs. However, after employing the legitimacy theory, we found that the preparers still disclose more information in the GPFRs due to social acceptance from other stakeholders. This study contributes to the academic discussion on IASB's move to focus more on the needs of the financiers as compared to the other users of the financial reports.

Keywords: conceptual framework; International Accounting Standards Board; IASB; GPFRs; users; financiers; primary group; accounting standards.

DOI: 10.1504/IJCA.2023.136827

International Journal of Critical Accounting, 2023 Vol.13 No.3, pp.191 - 203

Received: 26 Jul 2022
Accepted: 09 Jun 2023
Published online: 22 Feb 2024 *

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