China adopts world accounting standard

China has agreed to adopt a form of the International Financial Reporting Standards used in almost 100 countries including the EU member states, the Financial Times reported. The decision was applauded by international accountants in Beijing at a ceremony at the Great Hall of the People. China will not adopt the IFRS in every respect, but rather absorb its principles and translate them into its own Chinese Accounting Standards System. The move will increase confidence in the quality of financial information, but presents difficulties for local accounting firms already facing competition from foreign accounting houses.