Davignon: global norms crucial as markets grow

RAISING the topic of international accounting standards may not guarantee another invitation from a dinner party host. But utter the same words to boardroom bosses and you will be shot more knowing glances than blank looks. A recent meeting of European and Japanese industrialists including Bertelsmann chief Thomas Middlehoff and Toyota's Hiroshi Okuda called on regulators to accept the need for globally compatible norms for financial reporting. Etienne Davignon - European chairman of the EU-Japan Business Dialogue Round Table - made no apologies for placing the issue as their number-two priority behind the need to make the Kyoto protocol a success. In an interview with European Voice, former Commission vice-president Davignon said accounting standards are vital for industry as capital markets globalise and companies hop from one stock market to another. "This is a very important issue," he said. "If European companies were also quoted in the US or