At its meeting on February 20-23, 2023, the IASB discussed its proposed amendments to IAS 7, Statement of Cash Flows and IFRS 7, Financial Instruments: Disclosures. The proposed amendments would add disclosure requirements about an entity’s supplier finance arrangements. The IASB tentatively decided to require an entity to apply the amendments for annual reporting periods beginning on or after January 1, 2024. The IASB tentatively decided: (i) to permit earlier application and, if an entity applies the amendments for an earlier period, to require the entity to disclose that fact; (ii) not to require an entity to disclose comparative information for preceding periods in the annual reporting period it first applies the amendments; (iii) not to require an entity to disclose, in its first annual financial statements after the amendments become effective, information as at the beginning of that annual reporting period on: (a) the carrying amount of financial liabilities recognized in the statement of financial position that are part of a supplier finance arrangement for which suppliers have already received payment from the finance providers; and (b) the range of payment due dates of both financial liabilities that are part of a supplier finance arrangement and comparable trade payables that are not part of such an arrangement; and (iv) not to require the disclosures required by the amendments for any interim financial reports within the annual period in which an entity first applies the amendments.

Review the IASB Update and podcast on the Board's Web site.