The Impact of Adopting International Financial Reporting Standards and Public Sector Standards on Economic Freedom

This study examined the effect of adopting International Financial Reporting Standards (IFRS) and International Public Sector Accounting Standards (IPSAS) on economic freedom in developing countries. The analysis used panel data for ۳۲ developing economies in Latin America, Asia, Eastern Europe, and Africa, including Albania, Argentina, Bangladesh, Brazil, Chile, Mexico, Turkey, and South Africa, over the period ۲۰۰۰ to ۲۰۲۳. Economic independence is a key factor in improving the business environment, attracting foreign investment and supporting sustained economic growth. The study employs panel data regression on data collected from commonly used economic and financial databases. The results showed that the adoption of IFRS and the simultaneous adoption of IFRS and IPSAS have statistically significant positive effects on economic freedom. According to the findings, combining IFRS and IPSAS can improve financial transparency, institutional quality, investor confidence, and eventually boost economic freedom in poor nations. Thus, the report advises that financial regulators, economic policymakers and international organizations examine the implementation of IFRS and IPSAS as policy tools to promote economic reforms and improve the performance and integrity of the financial markets.

کلیدواژه ها:

Developing Countries ، Economic Freedom ، IFRS ، IPSAS