Lee White, CEO of IFAC, has addressed the recent approval of the International Ethics Standard on Sustainability Assurance (IESSA) by IESBA. He highlighted practical challenges, particularly for small- and medium-sized practices. To support a smooth global adoption.

IFAC CEO Lee White Comments on IESSA Approval

White has proposed a summit in early 2025 and issued the following statement:

IESBA Finalises IESSA, Pending Certification

“The International Ethics Standards Board for Accountants (IESBA) has recently finalised the International Ethics Standard on Sustainability Assurance (IESSA). However, the approval vote was not unanimous, and the standard is now awaiting certification by the Public Interest Oversight Board (PIOB) in January 2025.”

Practical Challenges and Concerns

“IESSA remains complex, presenting significant practical challenges, particularly regarding value chain considerations. Despite months of consultation—including extensive discussions with IFAC and its members—these challenges persist, raising concerns about future implementation, especially for small- and medium-sized practices.”

A Call for Action and Collaboration

“While IFAC fully respects the independence of the standard-setting process, we remain committed to working with IESBA and key stakeholders to address these challenges.

To facilitate practical implementation and global adoption, I am proposing a summit in early 2025, bringing together IESBA, IFAC, member representatives, standard users, and practitioners. This will serve as a platform to enhance engagement, strengthen consultation, and foster dialogue, ensuring that IESSA is fit for purpose and grounded in a principles-based approach.

The stakes are high, and collaboration is critical. By working together, we can develop a sustainable path forward that aligns with the needs of the profession, users, and the public interest.”

Info obtained here