Everything You Need to Know About the 2024 IFRS Updates

The International Financial Reporting Standards (IFRS), which was developed by the International Accounting Standards Board (IASB), helps to bring consistency, transparency and efficiency to financial statements worldwide. To be true to this mandate, the IASB makes sure to keep the standards up to date. 
 
Earlier this year, the IASB rolled out the 2024 IFRS updates for entities to incorporate into their financial reporting processes.  

Here is a brief rundown: 

IFRS 17 Insurance Contracts  

Starting January 1, 2024, IFRS 17 will take the place of IFRS 4, bringing in a new way to account for insurance contracts. The main goals are to make accounting for all insurance contracts more consistent and to improve transparency and comparability. 

IFRS 9 Financial Instruments  

The changes to IFRS 9 set new rules for how financial instruments are classified and measured.  

These updates aim to make it easier to classify financial assets and ensure the accounting matches the business model and cash flow characteristics of these assets.  

IFRS 16 Leases  

The 2024 changes to IFRS 16 focus on sale and leaseback transactions, offering more guidance on how to account for them. These updates explain how to measure the right-of-use asset and lease liability in these situations.  

IAS 1 Presentation of Financial Statements  

The changes to IAS 1 explain how to classify liabilities as either current or non-current. They focus on the conditions needed for a liability to be non-current and give more details on when a company can delay paying off a liability.  

This gives companies and entities leeway when it comes to their financial obligations.   

IFRS 13 Fair Value Measurement  

The 2024 updates to IFRS 13 aim to improve the rules for sharing information about fair value measurements. The changes focus on giving more details about the methods and assumptions used in these measurements. 

Need Help from Experienced Finance and Accounting Professionals?  

We make it our mandate to stay up to date on any changes to the finance and accounting industry on a global scale to ensure compliance at all times. Contact us at marketing@dvphilippines.com and we’ll help you find the right solution for your needs.  

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