IFRB 202407 IASB issues Amendments to the Classification

IFRB 2024/07 IASB issues Amendments to the Classification and Measurement of Financial Instruments

Original article from BDO Global

BDO has published IFRB 2024/07 IASB has issued amendments to the Classification and Measurement of Financial Instruments.
On May 30, 2024, the IASB issued Amendments to the Classification and Measurement of Financial Instruments—Amendments to IFRS 9 and IFRS 7 (the Amendments). 
The amendments clarify:
  • the requirements related to the date of recognition and derecognition of financial assets and financial liabilities, with an exception for derecognition of financial liabilities settled via an electronic transfer.
  • the requirements for assessing the contractual cash flow characteristics of financial assets.
  • characteristics of non-recourse loans and contractually linked instruments.
The Amendments also introduce certain disclosure requirements for financial instruments.

BDO’s IFR Bulletin 2024/07 summarises the requirements of the Amendments, along with explanatory flow charts and illustrations.