IFRS standards are getting acceptance day by day rapidly in all over the world. It is because IFRSs are the global and common language, which are more transparent and comparable for the investors and users residing in different nations. IFRSs are mandatory for all companies listed in capital market within EU from the beginning of 2005. As a member state of EU, Swedish banks also adopted mandatory IFRS from 1 January 2005. However, the banks were already implementing IFRS to some extent as most of the standards in SGAAP (Swedish Generally Accepted Accounting Principles) were already directly translated from IAS. After mandatory period, the banks adopted all new, updated and revised standards in accordance with EU recommendations. Nevertheless, there are little or no material effects of adoption of IFRS standards except some particular standards. Such particular standards are: IFRS3, IAS39, IAS27, EU Occupational Pension Directive, IAS32, and Deferred Acquisition Cost. And the main differences between IFRS and SGAAP are IAS1, IFRS3, financial assets, financial instruments, intangible assets, hedge accounting and tax driven. But, the Swedish GAAP no longer exists now for the companies listed in capital market as mandatory IFRS is into force. Furthermore, I examined transparency & accounting quality, information environment, and cost of equity capital of four sample banks after mandatory IFRS adoption. But, I find the level of transparency and financial reporting quality has not been increased over the years. Regarding accounting quality, I also examined earning management, loss recognition, and value relevance. I find little evidence of less earning management, and find unclear evidence regarding loss recognition and value relevance. In other word, I find little evidence of increased accounting quality, although Sweden is a country with strong regulatory enforcements. Moreover, I also find little evidence of improved information environment but find information cost increased; although I find lower information risks after mandatory IFRS adoption. I, however, find lower cost of equity capital after mandatory IFRS adoption because for banks it will be easy to reach wider investors communities residing in different nations. Nevertheless, the evident advantage of IFRS is that the capital market can use information based on common rules.