The Transparency Directive imposes on European groups listed on regulated markets a Single Electronic Reporting Format (ESEF). It consists in publishing the annual financial report (RFA) in xHTML format, accompanied by a markup language (xBRL), for IFRS consolidated financial statements based on the ESEF taxonomy published by ESMA, for the financial years starting January 1, 2020.
Much more than ensuring compliance for the publication format of the annual financial report, this new regulation is an opportunity to rethink your process of preparing and communicating financial information and fits naturally into the overall transformation project of the financial departments.
The implementation of the ESEF project impacts several functions and revolves around the following issues:
- Operational: rethinking the mapping of consolidated accounts with the elements of the ESEF taxonomy (with the difficulty of creating extensions and their anchoring to the basic elements)
- Technological: choosing a practical solution allowing the generation of documents in the expected formats (xHTML, iXBRL)
- Organizational: critical reviewing and optimizing the process for preparing and communicating financial information.
WHAT WE CAN OFFER:
- Support in the mapping process between IFRS consolidated financial statements and ESEF taxonomy
- Assistance in choosing and implementing the IT system
- Improving the presentation of your IFRS consolidated financial statements
- Redefining the process for preparing and communicating financial information
WANT TO KNOW MORE?
Răzvan Butucaru Partner, Financial Services & Advisory Leader - Bucharest