Financial Statements and Financial Reporting – A Narrative Embedded in Numbers, a Two Prong Philosophy – Grameen Bank & Islami Bank Bangladesh Limited (IBBL)

Abstract

Today’s financial reporting inherits its origin in money, numbers and accounting dated back 7,000 years in Mesopotamia. The Italian Luca Pacioli, “first person to publish a work on double-entry bookkeeping”¹ is regarded as the father of accounting and bookkeeping. In USA, SEC issued its first Accounting Series Release which appeared to be Commission’s views on auditing and accounting, later, in 1982 has become known as Financial Reporting Releases. Today more than 100 countries permit publicly held companies to use International Financial Reporting Standards. This meteoric rise for use of financial reporting was due to a worldwide demand from regulators, lenders, trade partners, businesses, investors and policy makers. “The Companies Act of 1994 mandates requirement for financial reporting by all companies in Bangladesh.”² Banks’ reporting formats and disclosures in Bangladesh based on BAS 30 is similar to the requirements of the Companies Act of 1994. The research depicts how the two banking institutions of Bangladesh – Islami Bank Bangladesh Limited (IBBL) and Grameen Bank having two philosophical objectives – uniquely present their results of operation under a uniform financial reporting system and how they differ in their financial operations.

Citation

Rahman, H. (2024), "Financial Statements and Financial Reporting – A Narrative Embedded in Numbers, a Two Prong Philosophy – Grameen Bank & Islami Bank Bangladesh Limited (IBBL)", Hamdan, A., Alareeni, B. and Khamis, R. (Ed.) Digital Technology and Changing Roles in Managerial and Financial Accounting: Theoretical Knowledge and Practical Application (Studies in Managerial and Financial Accounting, Vol. 36), Emerald Publishing Limited, Leeds, pp. 167-180. https://doi.org/10.1108/S1479-351220240000036016