Accounting./ PHOTO; Pexel
Developed over six years by Humentum and the Chartered Institute of Public Finance and Accountancy (CIPFA), INPAS introduces a standalone, accrual-based framework tailored to nonprofit realities.
It provides clear guidance on narrative reporting, grant income recognition, and the presentation of restricted and unrestricted funds.
“INPAS was only a gleam in the eye back in 2014 when 72% of respondents to an international survey from 179 countries agreed that it would be useful. Its development over the last six years through the IFR4NPO project has been a fantastic example of global co-creation for the sector by the sector,” Ian Carruthers, Chief Executive of INPRF, reflected on the journey behind the project.
“As the new CEO of INPRF, which has been specifically created to provide its long-term home, I am delighted that we are finally able to publish this long-awaited, ground-breaking guidance.”
The standard, freely available at www.inprf.org, also includes a harmonized Practice Guide for grant reporting, designed to simplify donor compliance and reduce audit costs.
The launch was hosted by the newly established International Non-Profit Reporting Foundation (INPRF), a nonprofit public interest body that will oversee the standard’s adoption and future development.
INPRF was created by Humentum and CIPFA to ensure INPAS has a permanent institutional home and global legitimacy.
“The nonprofit sector effectively manages billions of dollars annually. This standard is a game-changer. Its adoption will ease the burden of multiple grant reports and audits, streamline due diligence, and give funders even greater confidence in financial information. It paves the way for fairer funding, more effective partnerships, and a stronger, more resilient sector,” Chris Proulx, Co-CEO of Humentum.
The standard has drawn input from 358 organizations across 86 countries and reflects the collective effort of over 15,000 individuals.
It builds on established international frameworks, including the IFRS for SMEs Accounting Standard and relevant elements of the International Public Sector Accounting Standards (IPSAS).
Echoing that sentiment, CIPFA Chief Executive Owen Mapley noted:
“For the first time, nonprofits have an accounting standard built entirely around their operational realities. INPAS will help organisations demonstrate stewardship of resources, meet donor and public expectations, and strengthen trust through transparent, comparable reporting.”
The next phase will focus on adoption by national governments and voluntary uptake by nonprofits and donors seeking harmonized reporting.
In Kenya, the Institute of Certified Public Accountants of Kenya (ICPAK) has already announced plans to support phased implementation beginning in 2026.
With over 90 percent of countries lacking standardized nonprofit financial reporting, INPAS promises to close a long-standing accountability gap.
Its success, however, will depend on global buy-in.
If widely adopted, the framework could bring unprecedented consistency, comparability, and credibility to nonprofit financial reporting, strengthening trust, improving transparency, and advancing fairer global funding practices.
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