Amendments to the Classification and Measurement of Financial Instruments (Proposed Amendments to IFRS 9 and IFRS 7) [ED]
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Comments were requested by (i) AcSB on July 7, 2023 and (ii) IASB on July 19, 2023 |
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Next steps: |
The next project step is now the publication of final amendments in May 2024 |
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Last updated: |
March 2024 |
Overview
The IASB carried out a post-implementation review of the classification and measurement requirements in IFRS 9 Financial Instruments and related requirements in IFRS 7 Financial Instruments: Disclosures, in accordance with the IASB’s due process. The work completed by the IASB and the conclusions it reached are summarized in the Project Report and Feedback Statement—Post-implementation Review of IFRS 9 Financial Instruments—Classification and Measurement, published in December 2022.
Feedback indicated that the requirements in IFRS 9 generally work well in practice. In analyzing the feedback, the IASB decided to make narrow-scope amendments to IFRS 9 and IFRS 7 to address some of the findings from the post-implementation review.
The IASB published the Exposure Draft Amendments to the Classification and Measurement of Financial Instruments in March 2023.
On April 28, 2023, the AcSB issued its Exposure Draft which corresponds to the IASB’s Exposure Draft on this topic.
The Exposure Draft proposed amendments to the following requirements:
- settling financial liabilities using an electronic payment system; and
- assessing contractual cash flow characteristics of financial assets, including those with environmental, social and governance (ESG)-linked features.
The Exposure Draft also proposed amendments or additions to the disclosure requirements for:
- investments in equity instruments designated at fair value through other comprehensive income; and
- financial instruments with contractual terms that could change the timing or amount of contractual cash flows based on the occurrence (or non-occurrence) of a contingent event.
The IASB is considering the feedback on the Exposure Draft in finalizing the amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures.
For further details, visit the project page on the IASB’s Web site.
Other developments
September 2023
In September 2023, the IASB staff updated the work plan to indicate that the Board plans to publish the final amendments in H1 2024.
April 2023
On April 29, 2023, the IASB staff updated the work plan to indicate that the Board plans to review the Exposure Draft Feedback in Q3/2023.
Mars 2023
On March 21, 2023, the IASB published an Exposure Draft 'Amendments to the Classification and Measurement of Financial Instruments (Proposed amendments to IFRS 9 and IFRS 7). Comments are requested by July 19, 2023.
January 2023
On January 30, 2023, the IASB staff updated the work plan to indicate that the Board plans to issue an Exposure Draft in March 2023.
December 2022
On December 19, 2022, the IASB staff updated the work plan to indicate that the Board plans to issue an Exposure Draft in Q1/2023.
October 2022
On October 25, 2022, the IASB staff updated the work plan to indicate that the Board plans to issue an Exposure Draft in the first half of 2023.
May 2022
At its meeting on May 23-27, 2022, the IASB decided to add a standard-setting project to its agenda to make narrow scope amendments to clarify the requirements for assessing a financial asset’s contractual cash flow characteristics.
