IASB - Supporting Implementation

(i) New Standards 

After a new IFRS Standard is issued and before it becomes effective, the International Accounting Standards Board (IASB) helps stakeholders better understand the new Standard's principles and requirements. The IASB’s key areas of focus are recently issued Standards IFRS 9, IFRS 15, IFRS 16 and IFRS 17.

Standards Link to IASB's Webpage
IFRS 9 Financial Instruments Click here
IFRS 15 Revenue from Contracts with Customers Click here
IFRS 16 Leases Click here
IFRS 17 Insurance Contracts Click here


(ii) Supporting the application of IFRS® Standards

The IFRIC works with the IASB in supporting the application of IFRS Standards. All of the IFRIC projects begin as a question regarding an IFRS Standard. The IFRIC may decide not to recommend standard-setting because it concludes that standard-setting is:

  • unnecessary - typically because IFRS Standards provide enough information for a company to determine its accounting or because there is no evidence that a widespread accounting problem exists; or
  • unhelpful - for example, introducing new or amended requirements might assist one company with a particular type of transaction, while raising questions for other companies with slightly different types of transactions.

To explain why it did not recommend standard-setting, the IFRIC publishes an Agenda Decision which often includes information to help companies applying IFRS Standards by explaining how the applicable principles and requirements in IFRS Standards apply to the question submitted.

The March 2019 IFRIC® Update states that the process for publishing an agenda decision might often result in explanatory material that provides new information that was not otherwise available and could not otherwise reasonably have been expected to be obtained. Because of this, an entity might determine that it needs to change an accounting policy as a result of an agenda decision. The IASB expects that an entity would be entitled to sufficient time to make that determination and implement any change (for example, an entity may need to obtain new information or adapt its systems to implement a change). For further information, please refer to the MASB announcement available here.

Agenda decisions do not have the authority of IFRS Standards and therefore, they are not mandatory requirements but they should be seen as helpful, informative and persuasive. The IASB does not ratify Agenda Decisions.

Similar to the IASB, the MASB does not ratify IFRIC Agenda Decisions.

Nonetheless, given that MFRSs are word for word IFRS Standards, MASB expects Agenda Decisions to be helpful and informative in assisting Malaysian entities in the application of MFRSs. However, entities need to take note that there may be some Agenda Decisions that are case specific to a jurisdiction and hence are not relevant in the Malaysian context, for example “Revenue recognition in a real estate contract (IFRS 15 Revenue from Contracts with Customers)—March 2018”. Therefore, entities in Malaysia applying MFRSs shall assess the relevance of Agenda Decisions vis-à-vis the laws and regulations in Malaysia.


(iii) IASB’s Other Videos 

The IASB has produced a series of short educational videos, including:

Videos Date Published
Agenda Decisions and the proposed amendments to the Due Process Handbook 2 July 2019
Improving comparability of international financial reporting 14 May 2019
The role of the IFRS Interpretations Committee in supporting IFRS Standards  27 September 2017
Introducing Making Materiality Judgements 14 September 2017
How are IFRS Standards developed?  26 June 2017
IFRS Foundation publishes Debrief video on IFRS for SMEs  7 February 2017
Collaboration in international standard-setting 14 November 2016
IASB Work Plan 2017–2021: Key features video 2 November 2016
IFRS Standards - why do they matter? 9 February 2016
How we use research in our analysis 21 November 2014
Panel discussion on the future of financial reporting 1 September 2014
Audio presentation of Hans Hoogervorst speech, 'Are we there yet?'  1 September 2014
Hans Hoogervorst speech, 'Breaking the boilerplate'  1 September 2014
What should investors expect? 24 January 2014