The International Federation of Accountants (IFAC) has launched a public consultation on targeted revisions to its Statements of Membership Obligations (SMOs), a cornerstone of IFAC and its members’ commitment to a strong and sustainable global accountancy profession. These requirements provide the foundational framework that supports the profession in upholding high-quality international standards and best practices.

The proposed revisions focus on key areas to reflect developments in international standards and reinforce the profession’s role in serving the public interest. When final, the proposed changes will require IFAC members to:

• Enhance Quality Assurance Reviews – Updates quality assurance review procedures to align with the International Auditing and Assurance Standards Board’s (IAASB) quality management standards.
• Emphasize Flexible Entry Requirements for Accounting Education Programs – Reinforces the evaluation of flexibility entry pathways into professional accounting education as outlined in the International Education Standards (IES).
• Evaluate Adoption of the IAASB’s ISA for LCE – Clarifies expectations for adopting and implementing the International Standard on Auditing for Less Complex Entities (ISA for LCE).
• Adopt IFRS Sustainability Disclosure Standards – Formalizes the expectation to adopt or work toward the adoption of all IFRS Standards, including S1 and S2, issued by the International Sustainability Standards Board (ISSB).

In line with IFAC’s commitment to delivering value to its members and upholding global best practice, IFAC invites feedback from its members, members of the Forum of Firms, Network Partners and other regional accountancy organizations, regulators, standard setters, and other key stakeholders. These insights are crucial to ensuring the SMOs remain relevant, fit for purpose, and aligned with evolving international standards.

Feedback can be provided via a response template form, available on the IFAC website. The consultation is open until August 8, 2025. Following this public consultation and IFAC Board approval, the revised SMOs are expected to take effect on January 1, 2026.

For more information and to participate in the current consultation, visit the IFAC website.

About IFAC
IFAC, by connecting and uniting its members, makes the accountancy profession truly global.

IFAC member organizations are champions of integrity and professional quality, and proudly carry their membership as a badge of international recognition.

IFAC and its members work together to shape the future of the profession through learning, innovation, a collective voice, and commitment to the public interest.

The International Auditing and Assurance Standards Board and the International Ethics Standards Board for Accountants applaud the appointment of Ryan Wolfe as the new Chair of the Monitoring Group.

Commenting on Mr. Wolfe’s appointment, Gabriela Figueiredo Dias and Tom Seidenstein, IESBA and IAASB Chairs, respectively, said: “We are delighted to welcome Mr. Wolfe as the new Chair of the Monitoring Group. His extensive experience in regulatory oversight roles and his new role as Acting Chief Accountant of the U.S. Securities and Exchange Commission will bring invaluable perspective and expertise to this important position.

“The Monitoring Group plays a crucial role in advancing the public interest in international standard setting. We are confident that under Mr. Wolfe's leadership, the Monitoring Group will continue to promote high-quality international audit, assurance, ethics, and independence standards, benefiting investors and other stakeholders in global capital markets.

“We look forward to working closely with Mr. Wolfe, and continuing to partner with the Monitoring Group. Together, we will strive to ensure that our standards remain relevant and aligned with evolving international practices.

“Congratulations, Mr. Wolfe, on this new role. We wish you great success.”

The International Federation of Accountants (IFAC) warmly welcomes the appointment of Ryan W. Wolfe as the new Chair of the Monitoring Group, and extends its appreciation to Paul Munter, outgoing Chair, for his leadership and service.

Lee White, Chief Executive Officer of IFAC, said: "The Monitoring Group plays a critical role in supporting and upholding the integrity of global capital markets and serving the public interest. Ryan Wolfe brings a wealth of technical expertise, regulatory insight, and a deep commitment to high-quality financial reporting and audit oversight. His appointment is a positive step for the continued advancement of the Monitoring Group’s reform agenda and its strong partnership with IFAC on behalf of the global accountancy profession."

Mr. Wolfe, a Certified Public Accountant in Virginia and Chartered Financial Analyst (CFA) Charterholder currently serving as the Acting Chief Accountant at the U.S. Securities and Exchange Commission (SEC), brings over 20 years of experience from his tenure at both the U.S. Securities and Exchange Commission (SEC) and as a Managing Director at Credibility International LLC.

IFAC also acknowledges the significant contributions of Paul Munter, former Chief Accountant at the SEC, during his tenure as Chair of the Monitoring Group, and congratulates him on his retirement from federal service.

"We thank Paul Munter for his leadership and unwavering dedication to advancing audit quality and investor confidence and the key role he played in the MG reform process. We wish him all the best in his future activities," concluded Mr. White.

IFAC looks forward to working closely with Mr. Wolfe and continuing to support the Monitoring Group’s mission to enhance international standard-setting in the public interest.

About IFAC 
IFAC, by connecting and uniting its members, makes the accountancy profession truly global.   

IFAC member organizations are champions of integrity and professional quality, and proudly carry their membership as a badge of international recognition.   

IFAC and its members work together to shape the future of the profession through learning, innovation, a collective voice, and commitment to the public interest.   

As the European Union (EU) moves to simplify its sustainability legislation, global sustainability reporting and assurance practices are evolving to meet growing demands for transparency, credibility, and impact.

Accountancy Europe and the International Federation of Accountants (IFAC), as representatives of the European and global accountancy profession, reaffirm their commitment to high-quality and consistent sustainability assurance. Achieving this requires a collective effort by all stakeholders, robust professional standards, and regulatory consistency.

Global baseline for consistent assurance

Independent external assurance enhances information’s credibility and supports investors and other users in making informed decisions. To fully deliver on this potential, a global baseline for assurance and ethical standards are vital to meet users’ needs and ensure quality, consistency and efficiency of assurance engagements. High-quality sustainability assurance, based on globally accepted standards, is critical to reinforcing trust and ensuring comparability and usefulness of disclosures across markets.

As a stand-alone, profession-agnostic and principles-based standard, the IAASB’s International Standard on Sustainability Assurance (ISSA 5000) could fulfil this role.

IOSCO recognises the potential of the ISSA 5000 and IESBA’s International Ethics Standard for Sustainability Assurance to enhance consistency, comparability and reliability of sustainability information provided to the market. The ISSA 5000 could provide a strong basis for adoption of a future sustainability assurance standard in the EU and beyond.

Level playing field

It is vital that all providers, regardless of their background, operate under an equivalent framework, ensuring a level playing field on professional assurance standards, qualification, ethical requirements including independence, quality framework and public oversight.

“It is absolutely critical for investor and consumer protection that practitioners outside of the audit profession are held by jurisdictional regulators to the same regulatory oversight, disciplinary responsibility and requirements that apply to professional accountants”, said Lee White, CEO of IFAC.

Connectivity for better decision-making

Connectivity between financial and sustainability reporting helps to provide a full picture of the company’s viability and performance. Integrated information allows investors, regulators, and other stakeholders to understand how sustainability risks and opportunities translate into financial outcomes.

The accountancy profession has provided assurance on sustainability information for over two decades, building expertise through professional standards and extensive experience in evaluating systems, processes and controls throughout companies. This is crucial for improving the connectivity between financial and sustainability information. Engaging a single assurance provider for both financial and sustainability reporting enhances consistency, efficiency, and the integration of financial results with ESG performance while reducing administrative complexity.

“When sustainability and financial data align, companies present a clearer, more consistent narrative to the market, enabling stakeholders to make effective and sustainable decisions. Statutory auditors are also well placed to provide assurance on sustainability reporting to support information’s connectivity”, said Eelco van der Enden, CEO of Accountancy Europe.

Notes to Editors

Contacts:

For Accountancy Europe
Nha Vy Nguyen, Head of Communications
Email: nhavy@accountancyeurope.eu

For IFAC
IFAC Communications
Tel: +1-212-286-9344
Email : ifaccommunications@ifac.org

About IFAC  

IFAC, by connecting and uniting its members, makes the accountancy profession truly global.  

IFAC member organizations are champions of integrity and professional quality, and proudly carry their membership as a badge of international recognition.  

IFAC and its members work together to shape the future of the profession through learning, innovation, a collective voice, and commitment to the public interest.  

About Accountancy Europe

Accountancy Europe unites 49 professional organisations from 35 countries that represent 1 million qualified accountants, auditors and advisors. As Accountancy Europe, we translate professional accountants’ daily experience from across Europe to inform the European policy debate. Accountancy Europe is in the EU Transparency Register (No 4713568401-18). 

The International Auditing and Assurance Standards Board (IAASB) today released its revised International Standard on Auditing 570 (Revised 2024), Going Concern. The revised standard responds to corporate failures that raised questions regarding auditors’ responsibilities by significantly enhancing the auditor’s work in evaluating management’s assessment of an entity’s ability to continue as a going concern. Effective for audits of financial statements for periods beginning on or after December 15, 2026, the standard will also increase consistency in auditing practices and strengthen transparency through communications and auditor reporting on matters related to going concern in a consistent manner.

ISA 570 (Revised 2024) introduces several key changes:

• Robust risk assessment. Auditors must conduct, in a more timely manner, thorough risk assessments to determine whether events or conditions are identified that may cast significant doubt on the entity’s ability to continue as a going concern.
• Evaluating Management’s Assessment. Auditors must evaluate management’s assessment of going concern irrespective of whether events or conditions are identified. In doing so, auditors must consider the potential for management bias and evaluate the underlying method, significant assumptions, and data used when management formed its assessment. Additionally, auditors must evaluate whether management’s judgements and decisions indicate potential bias.
• Extended date of evaluation period. The auditor’s evaluation period for going concern now extends at least twelve months from the date of approval of the financial statements, contributing to an assessment of more relevant, decision-useful information.
• Enhanced transparency. The standard requires clearer communication in the auditor’s report about the auditor’s responsibilities and work related to going concern and strengthened communications with those charged with governance and external parties.

“This milestone addresses calls from investors, regulators, and other stakeholders for more robust audit procedures related to going concern. It provides decision-useful, entity-specific information in the auditor’s report regarding the auditor’s work and responsibilities for going concern,” noted IAASB Chair Tom Seidenstein. “The changes in the standard further advance high-quality audits and help narrow the expectation gap, thereby supporting users’ interests and broader financial stability.”

To support successful implementation, the IAASB also developed a fact sheet and Basis for Conclusions, which are available on the IAASB’s website. The IAASB will also issue a frequently asked questions document and technical overview video to support the revised standard’s implementation.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions.

IFAC (International Federation of Accountants) has submitted a response to the Financial Action Task Force’s (FATF) proposed updates to the FATF Guidance on AML/CFT measures and financial inclusion (the updated Guidance), reflecting the latest amendments to the FATF Standards.