Adoption History
Republic of Indonesia

In 1994, the Indonesian Financial Accounting Standards Board switched the benchmark to the International Accounting Standards Board and has worked consistently towards harmonizing with the IFRS (World Bank, 2005, page 13). The Indonesian Financial Accounting Standards Board (IFASB) was initially expecting to make Indonesian Financial Accounting Standards consistent with IFRS in year 2008 (World Bank, 2005, page 13). As of 2009, Indonesia has not fully adopted IFRS and all entities in Indonesia follow Indonesian GAPP. By 31 March 2010, however, IFASB has made considerable progress in terms of merging local standards (PSAC) with IFRS by revising 15 standards and revoking 15 non-IFRS standards (Word Bank, 2010, p. 20).  Because IFRS have to be translated to Indonesian language, the merging process is delayed (World Bank, 2010, p. 20-21).

However, on 23 December 2008, the Indonesian Institute of Accountants (IAI) issued a formal statement announcing its plan to have Indonesian GAPP fully converged with IFRS by 1 January, 2012 (IAI, 2008, p. 1). This will exclude IAS 41, Agriculture, and Agreements for the construction of real estate or IFRIC 15 (World Bank, 2010, p. 21). By May 1, 2011, 95% of IFRS has been adopted in The Republic of Indonesia (Indonesian Accounting Standard Board, 2011).


World Bank (2005). Report on observance of standards and codes (Republic of Indonesia). ROSC Accounting and Auditing. 13. Web. 18 Sep. 2009 <>.

ASEAN Federation of Accountants (2009). ASEAN Accountancy News. Indonesia: AFA. N. pag. Web. 18 Sep. 2009 <>.

The Indonesia Institute of Accountants (2009). Konvergensi Standar Akuntansi Keuangan (SAK) Indonesiake International Financial Reporting Standards (IFRS). Indonesia: The Indonesia Institute of Accountants, 1. Web. 21 Sep. 2009 <>.

Indonesian Accounting Standard Board. (2011). 2012 IFRS convergence progress in Indonesia., 3. Retrieved from      

Word Bank (2010). Report on the observance of standards and codes (ROSC) Indonesia. ROSC Accounting and Auditing, 1-31. Retreived from