Empirical Analysis of India’s IFRS Convergence: Enhancing Accounting Variable Explanatory Power Through Sustainable Disclosure

DOI

10.2991/978-94-6463-872-1_39How to use a DOI?

Keywords

IFRS converged; Complexity; Unreliability; Sustainability Reporting; Accounting Variables; Value Relevance; Transparency

Abstract

This paper investigates the challenges associated with the existing IFRS-converged accounting standards from the perspectives of both reporting entities and users of financial reporting in decision-making. It highlights the predominantly retrospective and compliance-driven nature of the current accounting framework, underscoring its inherent limitations. The study also examines the role of regulatory authorities in improving the relevance and usefulness of corporate reporting for decision-making objectives. Emphasis is placed on the complexity of IFRS-converged standards, examining their short-term and long-term impacts on the Explanatory power of the accounting variables. The extensive, detailed, and often less readable nature of these standards has led to an increased reliance on voluntary disclosures. The paper also addresses how unprecedented economic conditions have exposed the unreliability of certain IFRS-converged standards, further influencing their value relevance. Finally, a conceptual framework is proposed to analyse how sustainability disclosures can strengthen governance and transparency in reporting, ultimately enhancing the value relevance of accounting variables.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Kavita Chavare
AU  - K. Nethravathi
PY  - 2025
DA  - 2025/11/04
TI  - Empirical Analysis of India’s IFRS Convergence: Enhancing Accounting Variable Explanatory Power Through Sustainable Disclosure
BT  - Proceedings of the 2nd International Conference on Sustainable Business Practices and Innovative Models (ICSBPIM-2025)
PB  - Atlantis Press
SP  - 614
EP  - 629
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-872-1_39
DO  - 10.2991/978-94-6463-872-1_39
ID  - Chavare2025
ER  -