International Financial Reporting Standards IFRS and the reasons for its adoption in developing countries: A Literature Review

The study aims to identify the reasons for the global trend to adopt international financial reporting standards, as the stage of adopting international financial reporting standards is an important stage for interested parties. Therefore, the research goal focuses on studying the mechanisms to be adopted in countries whose financial markets are inactive, which increases the difficulty of adopting standards. Financial reporting for the first time in light of the lack of prior adoption of international financial accounting standards in it and the adoption of these countries on local standards that are not updated in accordance with international financial accounting standards, by studying the accounting literature that transact with the topic of research, and the study reached a conclusion that the adoption of financial reporting standards International IFRS contributes directly to the process of selecting accounting policies, which is positively reflected in the process of standardization and harmonization of accounting principles applied locally in developing countries; They must be international, which makes them generally accepted international accounting principles. The adoption of international financial reporting standards also contributes to a positive impact on the way of interpreting the financial statements.