The following are advantages of international harmonization of accounting standards;
Investors have greater comparability of financial statements which enables easier investment decisions. This is important in the context of global investing which has become more significant in the last decade;
Governments will have reduced funding requirements as they will not have to develop accounting standards for their own country;
Accounting firms with international practices will find it easier to deal with staff resourcing in countries experiencing boom or recessionary times due to common accounting standards allowing staff transferability between countries with no major impact on services delivered;
Companies Management control of foreign subsidiaries will be easier;
Consolidation of financial statements of subsidiaries will be easier as they will operate under the same standards;
Easier to comply with stock exchange reporting requirements;
Investment more likely as investors will have greater knowledge and reliance on the financial statements.