Contributing to the Global Economy
Regulatory Divergence: Costs, Risks and Impacts
IFAC
Apr 11, 2018 | Surveys & Reports
16 Pages
English
All available Translations: Spanish-Spain
It’s time to fix a costly fracture in the global economy.
IFAC (International Federation of Accountants) and Business at the OECD (BIAC) surveyed over 250 regulatory and compliance leaders from major global financial institutions to estimate that a piecemeal approach to financial sector regulation costs the global economy $780 billion USD a year.
What is regulatory divergence? In short: inconsistent regulation between different jurisdictions. It’s an especially big issue in the financial sector where interconnectedness and the free flow of capital is critical. Regulatory divergence can often burden—not benefit—the economies involved.
We believe more effective international regulatory cooperation and harmonization should be a policy-making priority.
Copyright © 2021 The International Federation of Accountants (IFAC). All rights reserved.
Related Resources
- G20 Public Trust in Tax 2019
- IFAC Response to IOSCO Consultation Report on Audit Committees
- IFAC Response to the EU Framework for Public Reporting by Companies
- Make Way for Gen Z: Identifying What Matters Most to the Next Generation
- The Global Accountancy Profession's Call to Action for G20 Countries