Financial Reporting Update FMI- November 26, 2008 Bill Matthews, CA Executive Director Government Accounting Policy and Reporting, TBS

Outline Summary Financial Statements 2. Financial Reporting Initiatives 3. Changing Accounting Standards

1. Summary Financial Statements Annual financial report was released on September 29, 2008 Clean Audit Opinion – 10 Consecutive Years The Government of Canada posted a budgetary surplus of $9.6 billion in 2007–08. The federal debt - $457.6 billion at the end of 2007–08.

2. Financial Reporting Initiatives Departmental Financial Statements Accrual Appropriations Monthly Submissions Quarterly Financial Statements

3. Changing Accounting Standards Dialogue with PSAB; Conceptual framework Volatility (Government transfers, financial instruments) Governance Scope of IFRS

3. Changing Accounting Standards PSAB Projects Statements of Recommended Practice (SORP) Tangible capital assets, Indicators of Financial Condition Environmental Liabilities Departmental Financial Statements

3. Changing Accounting Standards International International Financial Reporting Standards (IFRS) International Public Sector Accounting Standards Board (IPSASB) Impact on Canada Private sector – by 2011 Public sector – no current plans to adopt