IPSAS ED 47: Financial Statement Discussion and Analysis


The objective of the proposed Standard is to prescribe the manner in which financial statement discussion and analysis (FSDA) should be prepared and presented to assist users to understand an entity's general purpose financial statements. In order to allow entities to prepare and present FSDA for their specific circumstances ED 47 sets out overall considerations with respect to guidance for the structure, minimum requirements regarding the content and presentation of FSDA.

The IFRS on which the IPSAS is based

The proposed IPSAS is intended as an IPSAS specifically for the public sector. Despite the fact that the IASB has issued IFRS Practice Statement, Management Commentary (which is a broad, non-binding framework for the presentation of narrative reporting accompanying financial statements prepared in accordance with IFRSs), the IPSASB has decided not to develop guidance that was converged with the IFRS Practice Statement.


Principal definitions

Financial statement discussion and analysis is an explanation of the significant items, transactions, and events presented in an entity's financial statements and the trends and factors that influenced them.


According to IPSAS ED 47.3 an entity that prepares and presents financial statements in accordance with IPSAS 1, Presentation of Financial Statements, shall prepare and present FSDA. FSDA shall be prepared for the same reporting entity that prepares and ...

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