The Ability and Orientation of Implementing International Financial Reporting Standards in Vietnam

The International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) have been rapidly adopted in the world. Furthermore, the rapid growth of the Vietnamese economy in recent years has led to the necessity to apply IFRS to harmonize with international accounting and the globalization trend of the world economy. Adopting IFRS to prepare and present financial statements has provided many benefits but also poses certain challenges, therefore, Vietnam must have an appropriate and timely orientation plan to apply IFRS. The purpose of this article is to outline the benefits, challenges, and conditions for the countries having adopted IFRS. Based on the specific situation, characteristics and conditions of the Vietnamese economy, this article also proposes reasonable directions for applying IFRS in Vietnam.