The International Accounting Standards Board (IASB), previously the International Accounting Standard Committee (IASC), is an independent standard setting body. It issues the International Financial Reporting Standards (IFRS), previously the International Accounting Standards (IAS), covers main problematic areas and advises how entities should disclose, measure and present different accounting positions. Among them are four standards deeply connected with banking activity:
1. IFRS 30 — Disclosures in the Financial Statements of Banks and Similar Financial Institutions .
2. IFRS 32 — Financial Instruments: Disclosure and Presentation .
3. IFRS 39 — Financial Instruments: Recognition and Measurement .
4. IFRS 37 — Provisions, Contingent Liabilities and Contingent Assets .
The International Financial Reporting Standard 30 — Disclosures in the Financial Statements of Banks and Similar Financial Institutions, should be applied in the financial statements of all banks (and other institutions which are allowed to credit and receive deposits. This standard describes what kind of information has to be included in banks’ financial statements. These are:
1) in the income statement:
a) interest and similar income;
b) interest expense and similar charges;
c) dividend income;
d) fee and commission income;
e) fee and commission expense;
f) gains and losses arising from dealing securities;
g) gains and losses arising from investment securities;
h) gains and losses arising from dealing in foreign currencies;
i) other operating income;
j) losses on loans and advance;
k) general administrative expenses;
l) other operating expenses;
2) in the balance sheet (assets):
a) cash and balances with the central bank;
b) treasure bills and other bills eligible for rediscounting with the central bank;
c) government and other securities held for dealing purposes;
d) placements with, and loans and advances, other banks;
e) other money market placements;
f) loans and advances to customers;
g) investment securities;
3) in the balance sheet (liabilities):
a) deposits from other banks;
b) other money market deposits;
c) amounts owed to other depositors;
d) certificates of deposits;
e) promissory notes and other liabilities evidenced by paper;
f) other borrowed funds.
According to that standard every bank institutions should also disclose an analysis of its assets and liabilities, based on the remaining period at the balance sheet date to the contractual maturity day (e. g. up to 1 month, from 1 month to 3 months, from 3 months to 1 year, from 1 year to 5 years and over 5 years). Other obligatory notes to the financial statements refers to concentration of assets and liabilities, off balance sheet items, sources of banking risks and related party transactions.
The International Financial Reporting Standards 32 and 39 seemed to be the most difficult standards for applying. They treat of disclosure, presentation, recognition and measurement of financial instruments — an area, which is not the easiest to understand. Although these standards refer to every entity collecting financial instruments, the banks and other financial institutions are the most interested groups among them. They define financial assets as any assets that is cash, a contractual right to receive cash or another assets from another enterprise, a contractual right to exchange financial instruments with another enterprise under conditions that are potentially favourable, an equity instrument of another enterprise. And the financial liabilities are contractual obligations to deliver cash or another financial assets to another enterprise, or to exchange financial instruments with another enterprise under conditions that are potentially unfavourable. The standards classify financial instruments into 4 four groups:
1) loans and receivables originated by the enterprise;
2) held-to-maturity investments;
3) financial assets held for trading;
4) available-for-sale financial assets.
Чтобы распечатать файл, скачайте его (в формате Word).
Ссылка на скачивание - внизу страницы.