The International Public Sector Accounting Standards (IPSASs) have been developed to improve reporting by governments worldwide and manage public sector resources efficiently. Uniformity, consistency and transparency in the way transactions are recognised improves public sector decision making and makes the organisation more accountable to the various stakeholders.
Heraclitus, an ancient Greek philosopher who lived around 500 BC said “The only thing that is constant is change.” This quote is apt for the world of banking in the 21st century. Since the global financial crisis of 2008, there has been a significant change in the way banks conduct their business, how banks are regulated and the accounting for financial instruments.
So, the key question is: What is the impact of these changes on bank’s financial statements?
Whether you are an accountant, CFO, auditor, regulator or analyst, the new accounting standard on financial Instruments is likely to significantly affect what you do. IFRS 9 Financial Instruments introduces improvements to accounting for financial instruments that could affect the way entities manage their financial assets, price products and implement risk management.