246 0 obj 2359 0 obj 2018-12-10T08:40:02.000Z <> Please complete the CAPTCHA field to verify you are human. xmp.did:B992D09197C0E61193C3B9BEC4F425FC Here are the instructions how to enable JavaScript in your web browser . 243 0 obj The International Accounting Standards Board (IASB) issued IFRS 9, Financial Instruments, in November 2009.This is the first instalment of a phased replacement of the existing standard IAS 39, Financial Instruments. uuid:993c4a30-30eb-415f-b3a5-6a81a964fee2 IFRS 9 requires an entity to recognise a financial asset or a financial liability in its statement of financial position when it becomes party to the contractual provisions of the instrument. endobj [2300 0 R 2298 0 R 2298 0 R 275 0 R 2295 0 R 2296 0 R 2297 0 R] IFRS 9 Financial Instruments sets out the requirements for recognising and measuring financial assets, financial liabilities, and some contracts to buy or sell non-financial items. endobj 221 0 obj endobj <> The reforms introduced by HKFRS 9 are consistent with requests from the G20, the Financial Stability Board and Others. 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Standard (IFRS) published by the International Accounting Standards Board (IASB). [null null null null null null null null null null null null null null null 359 0 R 359 0 R 359 0 R 359 0 R 359 0 R 359 0 R 359 0 R 359 0 R 360 0 R 361 0 R 361 0 R 361 0 R 361 0 R 361 0 R 362 0 R 362 0 R 362 0 R 362 0 R 362 0 R 362 0 R 363 0 R 363 0 R 363 0 R 363 0 R 364 0 R 364 0 R 364 0 R 364 0 R 365 0 R 365 0 R 365 0 R 365 0 R 365 0 R 365 0 R 365 0 R 366 0 R 366 0 R 366 0 R 366 0 R 2293 0 R] 247 0 obj Part 5: Appendix. 2371 0 obj endobj The most significant effect of IFRS 9 Financial Instruments for non-financial entities will be the application of the new hedge accounting model. Many assume that the accounting for financial instruments is an area of concern only for large financial entities like banks. IFRS 9 responds to criticisms that IAS 39 is too complex, inconsistent with the way entities manage their businesses and risks, and defers the recognition of credit losses on loans and receivables until too late in the credit cycle. converted 2330 0 obj impairment Why do we need a new standard. endobj This has further been compounded by the Covid-19 pandemic which has left in disarray some of the best efforts put into the adoption of the standard. Banks and other financial institutions are most affected, but specific areas can have a big impact on corporates as well. It contains the derecognition decision tree to assist in assessment of derecognition criteria. 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