The Securities and Exchange Board of India vide its circular dated 21st August 2020 has amended the Securities and Exchange Board of India (International Financial Services Centres) Guidelines, 2015.
As per the amendment, the entities listing their debt securities in IFSC shall prepare their statement of accounts in accordance with IFRS/ US GAAP/ IND AS or accounting standards as applicable to them in their place of incorporation.
In case an entity does not prepare its statement of accounts in accordance with IFRS/ US GAAP/ IND AS, a quantitative summary of significant differences between national accounting standards and IFRS shall be prepared by such entity and incorporated in the relevant disclosure documents to be filed with the exchange.
Further, it is stated that in case the issue is targeted at institutional investors, the quantitative summary of significant differences is not required and a statement of differences between local accounting standards and IFRS/ US GAAP/ IND AS would suffice.
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