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Post Implementation Review of IFRS 9 - Classification and Measurement

Project Type:

Post-implementation review

Status:

Completed

Milestone:

Project Closure

Completed Date: 18 February 2022

The IASB published its Request for Information Post-implementation Review IFRS 9 Financial Instruments Classification and Measurement in September 2021. Our response to the IASB was submitted on 28 January 2022.

Background

IFRS 9 Financial Instruments replaced IAS 39 Financial Instruments: Recognition and Measurement.  Changes to accounting for financial instruments introduced by IFRS 9 covered three areas: Classification & Measurement, Impairment (Expected Credit Losses) and Hedge Accounting. IFRS 9 sets out the requirements on how an entity classifies and measures financial assets, financial liabilities, and some contracts to buy or sell non-financial items.  The standard was effective for annual periods commencing on or after 1 January 2018.  Insurers may defer the effective date until 1 January 2023, providing certain conditions are met.

Under its due process IASB is required to conduct a post implementation review (PIR) of the all new IFRS standards and major amendments.  The purpose of the post-implementation review is to assess whether the standard or amendment is meeting its objectives.  This PIR only addresses the Classification and Measurement requirements, including the related disclosure requirements in IFRS 7 Financial Instruments: Disclosures.  A PIR addressing IFRS 9 Impairment and IFRS 9 Hedge Accounting requirements is expected in 2022.

Outreach

Our planned outreach on this project included a survey, discussions with stakeholders, and public consultation on our draft comment letter.

Timeline