The Accounting Standards Council (ASC) has on 29 May 2014 announced that Singapore-incorporated companies listed on Singapore Exchange (SGX) will apply a new financial reporting framework that is identical to the International Financial Reporting Standards (IFRS) on 1 January 2018. The ASC has further affirmed that other Singapore-incorporated companies can continue to apply the existing financial reporting frameworks, including the Singapore Financial Reporting Standards (SFRS).
The full convergence of the Singapore Financial Reporting Standards (SFRS) with IFRS for Singapore-listed companies was the strategic direction of the ASC set in 2009. Singapore-listed companies must apply the new financial reporting framework, referred to as ‘IFRS-identical Financial Reporting Standards’, for annual periods beginning on or after 1 January 2018. Non-listed Singapore-incorporated companies may also voluntarily apply the new framework at the same time.
The IFRS-identical Financial Reporting Standards will comprise Standards and Interpretations that are equivalent to the following pronouncements issued by the International Accounting Standards Board (IASB):
- International Financial Reporting Standards;
- International Accounting Standards;
- IFRIC Interpretations; and
- SIC Interpretations.
An entity that complies with IFRS-identical Financial Reporting Standards will simultaneously comply with IFRS.
The first volume of the IFRS-identical Financial Reporting Standards will contain all IFRS requirements that are applicable for annual periods beginning on or after 1 January 2018 will be issued by the ASC Singapore in due course.
For entities that will be applying the IFRS-identical Financial Reporting Standards, IFRS provides a reference for the requirements that will be included in the IFRS-identical Financial Reporting Standards. The current year’s consolidated IFRS, without the Implementation Guidance and the Basis for Conclusions, can be accessed at the IFRS Foundation’s website.
Source: ASC Singapore, 2 October 2017