Exposure Draft of IFRS Practice Statement - Management Commentary

Indian Accounting Standards (Ind AS) are based on the IFRS Standards issued by the International Accounting Standards Board (IASB) of IFRS Foundation. The IASB, before issuing the new/amendments to IFRS Standards, issues consultative documents (such as Discussion Paper (DP), Exposure Draft (ED) etc) seeking public comments from across the globe. The Accounting Standards Board (ASB) of ICAI with the aim to provide an opportunity to the various stakeholders in India to raise their concerns at the initial International Standard-setting stage itself, invites comments on the consultative documents issued by the IASB. It also helps the Indian stakeholders to be aware of the preparations required for implementation of Ind AS in line with adhering to global timelines.  

In this regard, it may be mentioned that the IASB has issued the ED of revised IFRS Practice Statement - Management Commentary, which is not mandatory in nature. The revised Practice Statement would supersede the existing Practice Statement, issued in year 2010. The purpose of this ED is to obtain feedback on the IASB’s proposals. 

The IASB’s main aim in revising the Practice Statement is to develop comprehensive requirements that focus on information that investors and creditors need and guidance to help management identify that information and present it clearly.  

The IASB’s proposals are designed to provide both: 

  1. sufficient flexibility for a company to be able to tell its unique story, focusing on what is important to the company’s long-term prospects; and 
  2. an effective basis for regulators to enforce the revised Practice Statement and for auditors to assess compliance with it. 

Further, comments on the abovementioned Exposure Draft issued by the ASB may be submitted through any of the following modes.  


  1. Electronically:                Click on "submit a comment letter" below (Preferred method)            

  2. Email:                            Comments can be sent to: commentsasb@icai.in 

  3. Postal:                            Secretary, Accounting Standards Board, 

                                                The Institute of Chartered Accountants of India, 

                                                ICAI Bhawan, Post Box No. 7100,  

                                                Indraprastha Marg, New Delhi 110 002 

Further clarifications on any aspect of this Exposure Draft may be sought by e-mail to asb@icai.in

Comment letter deadline

The Exposure Draft is open for comment until 1st October, 2021

Due process documents
Exposure Draft of IFRS Practice Statement - Management Commentary  [PDF]