IPSASB issues exposure draft to clarify guidance on borrowing costs
Oct 21, 2020
On October 21, 2020, the International Public Sector Accounting Standards Board (IPSASB) released for comment Exposure Draft (ED) 74, IPSAS 5, "Borrowing Costs – Non-Authoritative Guidance". The ED proposes the addition of non-authoritative guidance to IPSAS 5. Comments are requested by March 1, 2021.
The proposed non-authoritative guidance would add implementation guidance and illustrative examples to IPSAS 5. The new material proposed in ED 74 would clarify how the existing principles for when borrowing costs can be capitalized should be applied in various regularly encountered public sector contexts. No amendments are proposed to the authoritative material in IPSAS 5.
Review the press release and exposure draft on the IPSASB's website.