Financial performance reporting, IFRS implementation accounting

information evidence from Bangladeshi banking sector

Abstract
This study aims to investigate the impact of International Financial Reporting Standards
(IFRS) implementation on financial performance reporting and accounting information in the
Bangladeshi banking sector. The research employs a quantitative approach and collects data
through structured questionnaires administered to financial managers in the Bangladeshi
banking sector. The study finds that the adoption of IFRS leads to improvements in financial
reporting quality, enhances transparency and comparability, and provides more reliable
accounting information to stakeholders. However, the implementation of IFRS also poses
challenges to financial managers, such as increased cost of compliance and complexity of
accounting standards. Overall, the study concludes that the benefits of IFRS adoption
outweigh the challenges and recommends that the Bangladeshi banking sector fully
implements IFRS to enhance financial reporting quality and improve accounting information.

Keywords: IFRS, Performance Reporting, Accounting Information, Value Relevance, Bangladeshi Banking
Sector.

Introduction

The International Financial Reporting Standards (IFRS) have been widely adopted around the
world as a means of improving financial reporting comparability and openness. Financial
performance is a subjective measure of how well a firm can use assets from its primary mode
of business and generate revenues. The term is also used as a general measure of a firm's
overall financial health over a given period. IFRS is set of regulations and guidelines that
define the basis of the financial reporting system. A comprehensive global reporting system
provides accurate, reliable and consistent financial data worldwide. Investors, creditors,
regulators are dependent on financial report for the decision-making process. Here, the
financial report represents a firm's financial performance. Before adopting IFRS companies
generally follow the local accounting standards which do not provide reliable information and
possibility to practice artificial accounting or intelligence accounting. But after adopting the
IFRS companies maintain a systematic way and it is acceptable for worldwide. Therefore, we
need to study the affect after adopting IFRS in banking sector.
This study focus on the relationship between Financial Performance among variables such as-
IFRS implementation, Financial Reporting Quality , Discloser of Accounting Information.
Using a sample of 48 listed bank on the Dhaka Stock Exchange (DSE) over three years of
IFRS pre-adoption (2011-2013) and three years of IFRS post-adoption (2016-2018). The
objective of this study is to determine either there have positive relationship or negative
relationship between financial performance and among variables ae well as neutral. This
study will benefit the society as well because potential investors can evaluate the globally
acceptance of the financial report.
The International Financial Reporting Standards (IFRS) compel banks to report more
extensive information about their financial performance, such as disclosures about the fair
value of financial instruments, asset impairment, and risk management strategies.