On or about 18 June 2019, the Singapore Accounting Standards Council (ASC) has submitted its comment to the International Accounting Standards Board (IASB) on ED2019/1 Interest Rate Benchmark Reform (Proposed amendments to IFRS 9 and IAS 39).

The ASC has raised concerns to IASB to consider the following implications that could arise from the proposed amendments made:

  • Scope of proposed amendments: Other risks affected by the uncertainties of reform
  • Separate identification: Wider implications for hedging relationships that are outside the scope of proposed amendments
  • Prospective assessments: Premature discontinuation of hedge accounting because of the proposed end to an application of the proposed amendment for prospective assessments
  • Retrospective application: Reinstatement of discontinued hedging relationships, and
  • Replacement issues: Need for timely solutions.

For more details on the comments, please visit the ASC website.

Source: ASC, 18 June 2019