IFRS S1 sets out overall requirements with the objective to require an entity to disclose information about its sustainability-related risks and opportunities that is useful to the primary users of general purpose financial reports in making decisions relating to providing resources to the entity.

IFRS S2 sets out the requirements for identifying, measuring and disclosing information about climate-related risks and opportunities that is useful to primary users of general purpose financial reports in making decisions relating to providing resources to the entity.

Please click to access the following Simplified Chinese translations on the IFRS Foundation website:

• IFRS S1
• IFRS S2
• Accompanying Guidance on IFRS S1
• Accompanying Guidance on IFRS S2
• Consolidated Industry-based Guidance for IFRS S2
• Basis for Conclusions on IFRS S1
• Basis for Conclusions on IFRS S2

A summary of the agenda is set out below:

Agenda papers for the meeting are available on the IFRS Foun­da­tion website.

The proposed Korean Sustainability Disclosure Standards would comprise two mandatory disclosure standards (KSSB 1 and KSSB 2) and one non-mandatory disclosure standard (KSSB 101):

• KSSB 1 General Requirements for Disclosure of Sustainability-related Financial Information is based on IFRS S1
• KSSB 2 Climate-related Disclosure is based on IFRS S2
• KSSB 101 Additional Disclosure aligned with Policy Objectives is a country-specific standard that allows entities to selectively disclose additional sustainability-related information as required by domestic laws or to meet the sustainability-related policy objectives

The timeline within the legal framework or listing rules will be determined by the Korean government following extensive consultation with domestic stakeholders. Consequently, the effective dates of the standards and the specific location for information will be established in conjunction with the development of the mandatory sustainability disclosure system.

For more information, please see the press release on the KSSB website.

Trustees meeting

Meeting ac­tiv­i­ties included the following:

• Reports of the Chair of the Trustees and the Managing Director
• Report of the Chair of the IASB
• Presentation by Jean-Paul Servais, Chair, IOSCO
• Report of the Chair of the ISSB
• IASB Strategy — Generation 3
• Strategic Direction Considerations for the ISSB
• ISSB Funding Update
• Trustee Strategic Engagement
• Report of the Chair of the Advisory Council
• Integrated Reporting and Connectivity Council
• Vision for Corporate Reporting
• Reports from recent Trustee Committee meetings
• Stakeholder engagement
• Meeting with the Monitoring Board
• Farewell for departing Managing Director

DPOC meeting

Meeting ac­tiv­i­ties included the following:

• IASB-re­lated matters
  • Update on IASB technical ac­tiv­i­ties
  • Subsidiaries without Public Accountability: Disclosures Due process ‘lifecycle’ review
• ISSB-re­lated matters
  • Update on ISSB technical ac­tiv­i­ties
  • Material to support the application of ISSB Standards — Update
• Composition of the IFRS Taxonomy Consultative Group
• Cor­re­spon­dence

For more in­for­ma­tion, see the summary of both meetings on the IFRS Foun­da­tion’s website.

According to the press release, the document, which is also referred to as “educational material”, has been designed to reduce complexity, fragmentation and duplication for entities applying both the ISSB standards and ESRS.

The guidance contains the following sections:

• Section 1 discusses the general reporting requirements in the ISSB standards and ESRS and explains the extent to which the standards are compatible with each other in terms of materiality, presentation and disclosures on non-climate-related sustainability topics.
• Section 2 provides a paragraph-by-paragraph analysis of the climate-related disclosure requirements of the ISSB standards and the ESRS in a tabular format.
• Section 3 lists reporting elements and areas for which ESRS preparers may need to provide additional disclosures in order to comply with the climate-related disclosure requirements in the ISSB standards.
• Section 4 lists reporting elements and areas for which IFRS preparers may need to provide additional disclosures in order to comply with the climate-related disclosure requirements in ESRS.

For more information, including access to the guidance, please see the press release on the IFRS Foundation website.

Note: On 23 May 2024, the ISSB and EFRAG held a joint event on the guidance. Please click here to access the recording and the presentation slides for the event on the EFRAG website.

The pronouncement includes minor improvements sourced from recent IFRS improvements and narrow scope projects. 

Please click for more information and access to finalised pronouncement on the IPSASB website.

In its draft comment letter, EFRAG welcomes the IASB's efforts in trying to achieve the right balance to improve the disclosure requirements in IFRS 3 and goodwill impairment test in IAS 36 at a reasonable cost to preparers.

However, EFRAG still has significant concerns and is seeking additional input from constituents on:

• specific aspects of the package of new disclosures;
• the proposal to provide quantitative information on expected synergies; and
• whether the IASB should deal with existing tax issues, including the treatment of deferred taxes.

Comments on EFRAG's draft comment letter are requested by 28 June 2024. For more information, see the press release and the draft comment letter on the EFRAG website.

The topics covered during the meeting were the following (numbers in brackets are ref­er­ences to the cor­re­spond­ing para­graphs of the summary):

• Agenda planning and feedback from previous ASAF meeting (1-2): The ASAF members discussed topics for its next meeting to be held on 8–9 July 2024 and will include dis­cus­sions on Business Combinations — Disclosures, Goodwill and Impairment; Provisions — Targeted Improvements; Pollutant Pricing Mechanisms; and Intangible assets.
• Disclosure Initiative-Subsidiaries without Public Accountability: Disclosures (3–6): The ASAF were provided with a overview of the forthcoming IFRS Accounting Standard IFRS 19 and were updated on the IASB’s next steps after issuing the Subsidiaries Standard.
• Rate-regulated Activities (7–15): The purpose of the session was to update ASAF members on the redeliberations of the Exposure Draft Regulatory Assets and Regulatory Liabilities and provide comments on tentative decisions reached in Q3 and Q4 2023.
• Post-implementation Review of IFRS 9 — Impairment (16–28): The purpose of the session was to provide an overview of feedback on the post-implementation review of impairment requirements in IFRS 9 and the ASAF provided comments on the general approach to recognizing expected credit losses and determining significant increases in credit risk. In addition, the members provided views on the prevalence and significance in ASAF members’ jurisdictions of some application matters raised during the PIR.
• Amendments to the Classification and Measurement of Financial Instruments (29–37): The purpose of the session was to summarise the IASB’s tentative decisions responding to feedback on the Exposure Draft Amendments to the Classification and Measurement of Financial Instruments (the Exposure Draft). ASAF members were asked for their initial views on the IASB's tentative decisions.
• Post-implementation Review of IFRS 15 — Revenue from Contracts with Customers (38–46): The purpose of this session was to update members on the Post-implementation Review of IFRS 15 project and seek members’ views on the matters discussed by the IASB in January– March 2024.
• Climate-related and Other Uncertainties in the Financial Statements (47–55): The purpose of this session is to provide the ASAF members with an update on the project and discuss topics discussed at the IASB’s March 2024 meeting.
• EFRAG’s project on Variable Consideration (56–57): A summary of feedback received on the EFRAG’s Discussion Paper Accounting for variable consideration — From a purchaser’s perspective was presented.
• Financial Instruments with Characteristics of Equity (58–63): A summary of results of the EFRAG’s survey on the Exposure Draft Financial Instruments with Characteristics of Equity.

A full summary of the meeting is available on the IFRS Foun­da­tion website.

This com­pi­la­tion includes three agenda decision:

• Payments Contingent on Continued Employment during Handover Periods (IFRS 3 Business Combinations);
• Merger between a Parent and Its Subsidiary in Separate Financial Statements (IAS 27 Separate Financial Statements); and
• Climate-related Commitments (IAS 37 Provisions, Contingent Liabilities and Contingent Assets).

For more in­for­ma­tion, see the press release and com­pi­la­tion on the IFRS Foundation website.

The following webinars are scheduled:

• Subtotals and categories in the statement of profit or loss — This webinar will cover the introduction of three defined categories for income and expenses under IFRS 18 (operating, investing, and financing). Participants will gain insights into the improved structure of income statements and the requirement to provide new defined subtotals, including operating profit. This webinar will have two sessions held on 16 May (Morning: 9:30am—10:30am BST and Afternoon: 15:30–16:30 BST).
• Management-defined performance measures — This webinar will discuss the IFRS 18 requirement for companies to disclose explanations of company-specific measures related to the income statement, referred to as management-defined performance measures. This webinar will have two sessions held on 30 May (Morning: 9:30am—10:30am BST and Afternoon: 15:30–16:30 BST).
• Grouping of information in the financial statements — This webinar will explore enhanced guidance on organising information in financial statements and deciding whether to provide it in the primary financial statements or in the notes. This webinar will have two sessions held on 6 June (Morning: 9:30am—10:30am BST and Afternoon: 15:30–16:30 BST).

For more information, see the press release on the IFRS Foundation’s website.