Financial instruments – Disclosures
This project had started out to develop a Standard on presentation and disclosure in the financial statements of entities that carry out deposit-taking, lending, or securities business activities. The Standard would replace IAS 30 Disclosures in the Financial Statements of Banks and Similar Financial Institutions. Reconsideration of IAS 30 is necessary particularly in light of developments in the industry and the issuance of IAS 1 (revised 1997) Presentation of Financial Statements, and IAS 39 Financial Instruments: Recognition and Measurement.
However, in late 2002, the IASB made a fundamental change in the direction of this project. The project then became, more broadly, a project on disclosure of:
- qualitative information about risk exposures arising from financial instruments
- quantitative data based on management's risk management system
- minimum disclosures about credit risk, liquidity risk, and market risk (including interest rate risk).
As the approach to the project shifted, so has the name of the project. It has progressed through the following:
- Disclosure and presentation by banks and similar financial institutions
- Financial activities (deposit-taking, lending, and securities activities): Disclosure and presentation
- Disclosures of risks arising from and other disclosures relating to financial instruments
Current status of the project
This project has been completed. IFRS 7 Financial Instruments: Disclosures and Capital Disclosures (Amendments to IAS 1) were issued on 18 August 2005.
|22 July 2004||Exposure Draft ED 7 Financial Instruments: Disclosures published||Comment deadline 22 October 2004|
|18 August 2005||IFRS 7 Financial Instruments: Disclosures||Effective for annual periods beginning on or after 1 January 2007|
|18 August 2005||Capital Disclosures (Amendments to IAS 1) issued||Effective for annual periods beginning on or after 1 January 2007|