The IASB issues amendments to IAS 21

The International Accounting Standards Board (IASB) recently issued amendments to IAS 21, The Effects of Changes in Foreign Exchange Rates, which will require companies to provide more useful information in their financial statements when a currency cannot be exchanged into another currency.

These amendments will require companies to apply a consistent approach in assessing whether a currency can be exchanged into another currency and, when it cannot, in determining the exchange rate to use and the disclosures to provide.

The amendments will become effective for annual reporting periods beginning on or after 1 January 2025.

For further information on the new requirements and their benefits, watch the webcast on:

All IFRS subscribers can download the document from the IFRS Accounting Standards Navigator and the Lack of Exchangeability project page, respectively, available on:

The amendments will be consolidated into IAS 21 and IFRS 1 in March 2024, when they will be available for users with a free website registration.