News

IFRS Foundation (blue) Image

IFRS Foundation seeks SRG members

20 Feb 2024

The IFRS Foundation is calling for applicants from different geographies and industries to become members of its IFRS Sustainability Reference Group (SRG).

The SRG is a diverse group of subject matter experts on sustainability and general purpose financial reports, as well as disclosure. The purpose of the SRG is to provide technical input to members of the International Sustainability Standards Board (ISSB) and its staff for research and standard-setting projects.

The SRG will be comprised of approximately 150 members, who should have professional competence, and practical preparer, user or related experience of sustainability disclosures and/or general purpose financial reports. 

The closing date for applications is 20 April 2024.

Please click for more information in the press release on the IFRS Foundation website.

ISSB (International Sustainability Standards Board) (blue) Image

ISSB publishes webcast and educational material on industry-specific disclosures

19 Feb 2024

The International Sustainability Standards Board (ISSB) has released a 14-minute webcast on the importance of industry-specific disclosures to investors. At the same time, the ISSB has published educational material explaining how entities can refer to and consider the content in the SASB standards to meet the requirements in IFRS S1.

In the webcast, ISSB member Elizabeth Seeger discusses with global investors the main reasons why investors rely on industry-specific information in their analysis and decision-making.

The educational material explains how entities can meet the requirement in IFRS S1 to disclose material information about all sustainability-related risks and opportunities that could reasonably be expected to affect an entity's cash flows, its access to finance or cost of capital over the short, medium or long term. IFRS S1 includes a reference to the SASB standards as a source of guidance for sustainability-related risks and opportunities beyond climate (which is addressed through IFRS S2). 

The educational material states that the SASB standards can be a useful source of guidance in applying IFRS S1 because they:

  • are designed to provide investors, creditors and other lenders with information that is decision-useful and comparable with peers;
  • are tailored to specific industries, allowing companies to quickly access guidance that is relevant to their business activities; and
  • provide guidance on sustainability-related topics beyond climate, including human capital and nature.

Please click for the following on the IFRS Foundation website:

  • Press release
  • Access to the webcast on the importance of of industry-specific disclosures to investors
  • Access to the educational material Using the SASB Standards to meet the requirements in IFRS S1 
IFRS AC (IFRS Advisory Council) (mid blue) Image

IFRS Advisory Council membership update

19 Feb 2024

The Trustees of the IFRS Foundation have announced appointments and re-appointments to the IFRS Advisory Council effective 1 January 2024.

The Advisory Council is the formal advisory body to the Trustees, the IASB, and the ISSB. It advises the IFRS Foundation on its strategic direction, technical work plan and priorities.

The Advisory Council currently has more than 50 members with interests in international corporate reporting and diverse functional and geographical backgrounds. They offer a broad range of accounting and sustainability experience. Among the newly appointed organisations is the Pan African Federation of Accountants (PAFA).

Please see the press release on the IFRS Foundation website for more information. A full list of current members is available here.

ISSB meeting Image

Pre-meeting summaries for the February 2024 ISSB meeting

19 Feb 2024

The ISSB will meet in New York on 21 February 2024. We have posted our pre-meeting summaries for the meeting that allow you to follow the ISSB’s decision making more closely. We summarised the agenda papers made available by the ISSB staff and point out the main issues to be discussed by the ISSB and the staff recommendations.

The following topics are on the agenda:

Supporting implementation of IFRS S1 and IFRS S2: The ISSB will discuss focus areas for educational material that the staff is currently developing to support the implementation of IFRS S1 and IFRS S2. The focus areas for the discussion are: using ISSB standards to prepare sustainability-related financial disclosures; definition of material information; sustainability-related risks and opportunities; and information that is material might change over time.

ISSB consultation on agenda priorities: ISSB members will discuss the staff’s analysis and recommendations on the criteria for assessing the priority of new research and standard-setting projects that could be added to the ISSB’s work plan. The staff recommends proceeding with the list of criteria outlined in the request for information Consultation on Agenda Priorities without amendments or additions.

Our pre-meeting summaries is available on our February meeting notes page and will be supplemented with our popular meeting notes after the meeting.

India Image

India preparing for adoption of IFRS 17 equivalent

19 Feb 2024

In preparation for the adoption of Ind AS 117, the equivalent to IFRS 17 'Insurance Contracts', the Insurance Regulatory and Development Authority of India (IRDAI) has announced the reconstitution of its expert committee dedicated to the implementation of Indian Accounting Standards (Ind AS) and International Financial Reporting Standards (IFRS).

At the heart of this committee's responsibilities are:

  • the development of phase-wise timelines that are both ambitious and attainable;
  • crafting recommendations for proforma financial statements and financial disclosures; and
  • addressing concerns arising from transition activities.

For additional information, please see the announcement on the IRDAI website.

GPF meeting (mid blue) Image

Agenda for the March 2024 GPF meeting

19 Feb 2024

Representatives from the International Accounting Standards Board (IASB) and the International Sustainability Standards Board (ISSB) will meet with the Global Preparers Forum (GPF) in a hybrid meeting on 1 March 2024. The agenda for the meeting has been released.

The full agenda for the meeting is summarised below:

Friday, 1 March 2024 (9:30-13:45)

  • Welcome and introductions
  • General IASB and IFRS Interpretations Committee update
    • Update on climate-related and other uncertainties in the financial statements
    • Update on Business combinations — Disclosures, goodwill and impairment
    • Other IASB update
    • IFRS Interpretations Committee update
  • Financial instruments with characteristics of equity
  • ISSB update
    • Update on recent deliberations and discussions of the ISSB

Agenda papers for this meeting are available on the IFRS Foundation's website.

IASB meeting (blue) Image

Pre-meeting summaries for the February 2024 IASB meeting

16 Feb 2024

The IASB will meet in London on 19-22 February 2024. We have posted our pre-meeting summaries for the meeting that allow you to follow the IASB’s decision making more closely. We summarised the agenda papers made available by the IASB staff and point out the main issues to be discussed by the IASB and the staff recommendations.

The following topics are on the agenda:

Equity method: The IASB will be asked to clarify several matters arising from its tentative decisions and decide whether to propose amendments to IFRS Accounting Standards; and consider which, if any, of the disclosure requirements to be proposed in the future exposure draft should also be proposed as amendments to the forthcoming IFRS Accounting Standard Subsidiaries without Public Accountability: Disclosures.

Second comprehensive review of the IFRS for SMEs standard: The IASB will consider feedback on the proposals in the ED on Section 9 Consolidated and Separate Financial Statements, Section 19 Business Combinations and Goodwill and Section 23 Revenue from Contracts with Customers.

Maintenance and consistent application: The IASB will discuss the staff’s analysis of feedback received in response to exposure draft Annual Improvements to IFRS Accounting Standards—Volume 11; and its project on use of a hyperinflationary presentation currency by a non-hyperinflationary entity (IAS 21), in particular the disclosure and transition requirements, as well as the due process requirements.

PIR of IFRS 9—impairment: In this meeting, the IASB will deliberate the feedback received in response to its request for information Post-implementation Review—IFRS 9 Financial Instruments—Impairment. The deliberation will be focused on the two overarching areas of the impairment requirements—the general approach to recognition of the expected credit loss (ECL) and determining significant increases in credit risk (SICR).

PIR of IFRS 15 Revenue from Contracts with Customers: The IASB will discuss feedback received in response to its request for information Post-implementation Review—IFRS 15 Revenue from Contracts with Customers, in particular with regard to identifying performance obligations in a contract, principal versus agent considerations and licensing.

Power purchase agreements: The staff will provide an update on the project and outline the next steps for the project.

IFRS 9 amendments to classification and measurement: The staff will present its analysis and recommendations relating to feedback on the disclosure requirements relating to contractual terms that could change the contractual cash flows of financial assets and financial liabilities not measured at fair value through profit or loss; and the effective date and transition requirements for the final amendments. The staff will also request permission to begin the balloting process for the final amendments and considers which of the new or amended disclosure requirements should apply to subsidiaries without public accountability.

Rate-regulated activities: The IASB will continue to redeliberate the proposals in the exposure draft Regulatory Assets and Regulatory Liabilities, in particular the boundary of a regulatory agreement, amendments to IAS 36 and disclosure.

In addition, the Board will receive a short oral update on changes to its work plan.

Our pre-meeting summaries is available on our February meeting notes page and will be supplemented with our popular meeting notes after the meeting.

GRI (Global Reporting Initiative) (green) Image

GRI concludes series 2 of its SDGs podcasts with an episode on sustainability reporting

16 Feb 2024

The Global Reporting Initiative (GRI) has concluded series 2 of its 'The SDG Insider' podcast, which endeavours to bridge the gap between corporate reporting and the UN Sustainable Development Goals (SDGs). The final episode in the series is titled 'Navigating sustainability reporting in the age of regulatory revolution'.

In the episode, speakers from various organisations explore how companies can better adapt to regulatory changes, with a focus on the challenges and opportunities of sustainability data and links with the SDGs.

The podcast can be accessed via the podcast page on the GRI website. 

Malaysia Image

Malaysia consults on adoption of ISSB standards

15 Feb 2024

The Advisory Committee on Sustainability Reporting (ACSR), chaired by the Securities Commission Malaysia (SC), has published a consultation for the adoption of the ISSB’s standards as the basis for a sustainability reporting framework.

The consultation paper requests feedback on the most important questions, e.g. the potential scope and timeline of the adoption, potential transition reliefs, and questions around the assurance of sustainability information.

The ACSR proposes a staggered approach to adoption of, firstly, the ISSB standards with reliefs – staggered by groups of market participants and standard – from 2025-2028, and then full ISSB standards, staggered by groups of market participants from 2027-2029.

The ISSB standards would only be a part of the proposed so-called National Sustainability Reporting Framework (NSRF), which has the following objectives:

  • Improvement of the availability of reliable, comparable and decision-useful information on material sustainability risks and opportunities of companies by using the ISSB Standards as the baseline standard;
  • Enabling the use of other complementary reporting frameworks, for example the Global Reporting Initiative (GRI) standards or industry-based standards issued by the Sustainability Accounting Standards Board (SASB), to meet the information needs of different stakeholders; and
  • Supporting the availability and the flow of sustainability information across the supply chain.

As a first step, the ACSR now consults on:

  • a) the use and application of IFRS S1 and IFRS S2, including the required transition reliefs;
  • b) the approach in relation to a sustainability assurance framework; and
  • c) enablers and/or support required for a) and b).

The comment period ends on 21 March 2024. To access the consultation paper on the SC Malaysia website, please click here.

 

Leaf - sustainability (green) Image

VBA and IFVI publish methodology exposure drafts for valuing social and environmental impacts

15 Feb 2024

The Value Balancing Alliance (VBA), together with the International Foundation for Valuing Impacts (IFVI), has published exposure drafts 'Environmental Methodology 1 — Greenhouse Gas Emissions — Topic Methodology' and 'Social Methodology 1 — Adequate Wages'.

The exposure drafts propose a globally applicable and comprehensive open-source methodology for valuing organisational social and environmental impact that is designed for incorporation into financial analysis and organisational planning and decision-making. The comment period ends on 8 April 2024.

The exposure drafts can be accessed on the VBA website:

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.