AASB Exposure Draft ED 324 Amendments to the Classification and Measurement of Financial Instruments

Monday, March 27, 2023

AASB ED 324 proposes amendments to the classification and measurement requirements in AASB 9 Financial Instruments and related requirements in AASB 7 Financial Instruments: Disclosures following feedback received from the post-implementation review of the classification and measurement requirements in IFRS 9/AASB 9.

The AASB is proposing a number of amendments to AASB 9, including:

• clarifying how to apply the classification requirements for assessing contractual cash flow characteristics to financial assets with contractual terms that could change the timing or amount of those cash flows, such as environmental, social and corporate governance (ESG) features; and
• clarifying the derecognition requirements for the settlement of liabilities through electronic payment systems.

The proposals also include amendments or additions to the disclosure requirements in AASB 7, such as disclosures relating to investments in equity instruments designated at fair value through other comprehensive income.

Please submit your comments to the AASB by 31 May 2023, via the AASB website, LinkedIn or email to [email protected].