CABS Working Group's Workshop

International Financial Reporting Standards (IFRS 9): Financial Instruments

The Working Group on "Cross-border banking supervision" of the Community of African Banks Supervisors (CABS), led by the South African Reserve Bank (SARB) will hold a workshop on International Financial Reporting Standards (IFRS 9): Financial Instruments on 26- 27 September 2017 in Pretoria, South Africa. CABS is a technical committee of the Association of African Central Banks (AACB) established as a joint initiative with MFW4A. The IFRS 9 will become effective for financial reporting from January 1st, 2018 replacing the International Accounting Standard (IAS) 39 applicable to financial instruments. The IFRS9 represents a fundamental change in accounting for financial instruments and will have significant implications on how banks determine impairments. The IAS 39 was based on an "incurred loss approach" while the IFRS9 rather focusses on an "expected credit loss"(ECL) approach. Considering the importance and far-reaching implications of IFRS 9 it is imperative for African banking regulators and supervisors to be prepared for implementing the new standard when it becomes effective. The upcoming workshop aims therefore to raise awareness of the implications of the new standard on the banking sector, with a particular focus on the African environment. For more information, please contact Hugues Kamewe ([email protected]), Financial Sector Advisor with MFW4A.