|Extent of IFRS application||Status||Additional Information|
|IFRS Standards are required for domestic public companies||All listed companies must follow IFRS Standards except for financial institutions and insurance companies, which must follow national standards.|
|IFRS Standards are permitted but not required for domestic public companies|
|IFRS Standards are required or permitted for listings by foreign companies||Foreign company may use either IFRS Standards or US GAAP.|
|The IFRS for SMEs Standard is required or permitted||No. No particular accounting framework is required for SMEs. Mexican national standards are used by most SMEs.|
|The IFRS for SMEs Standard is under consideration||No.|
IFRS Standards were adopted by the Comisión Nacional Bancaria y de Valores (CNBV) [the National Banking and Securities Commission of Mexico] for listed companies other than financial institutions and insurance companies effective for annual reporting periods beginning on or after 1 January 2012. Early application was allowed since 2008.
This applies both to entities that prepare consolidated financial statements and to entities that are not required to prepare consolidated financial statements because they do not have subsidiaries. Companies belonging to the financial and insurance sectors use Mexican Financial Reporting Standards (MFRS) plus certain requirements established by the CNBV and the National Insurance and Bonding Commission (CNSF).
In addition, CINIF has a convergence project to eliminate differences between MFRS and IFRS Standards. When completed, CINIF expects that MFRS applied by domestic companies whose securities are not publicly traded will be ‘very similar’ to IFRS Standards. CINIF has published an analysis of the main differences between MFRS and IFRS Standards.