The IASB met on September 20, 2023, to discuss its project on Climate-related Risks in the Financial Statements. The IASB discussed whether to generalize the project objective to cover the reporting of financial information about the effects of other uncertainties in addition to those related to climate in the financial statements; the results of research on the nature and causes of stakeholders’ concerns about reporting the effects of climate-related risks in the financial statements; and the potential actions the IASB could take to respond to these concerns.

The IASB decided that the objective of this project is to explore whether and, if so, how targeted actions could improve the reporting of financial information about climate-related and other uncertainties in the financial statements. Because of this decision, the project name is now changed to ‘Climate-related and Other Uncertainties in the Financial Statements’.

The IASB discussed potential actions it could take to respond to stakeholders’ concerns about reporting the effects of climate-related risks in the financial statements. The IASB decided to explore whether to create examples to illustrate how to apply requirements in IFRS Accounting Standards to reporting the effects of climate-related and other uncertainties; to explore clarifying or enhancing requirements in IFRS Accounting Standards in relation to disclosure of information about estimates; to refer to the IFRS Interpretations Committee a question about the circumstances in which an entity recognizes a liability when applying IAS 37 Provisions, Contingent Liabilities and Contingent Assets to climate-related commitments; and to consult with the IFRS Interpretations Committee on questions related to the application of IAS 36 Impairment of Assets to measure value in use when an asset is subject to highly variable future cash flows over an extended period.

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