Page 17 - Newsletter-September-2019

Governance, Transparency and Service to Members & Students www.icap.org.pk scope, duties and responsibilities along with other Update: consequential matters, such as accreditation of warehouses, warehouse receipts, disciplinary procedures, International inspection and investigation, etc. The regulations can be accessed at: Financial Reporting https://www.secp.gov.pk/document/sro-890i-2019- notification-of-collateral-management-companies- Webinar on IFRS 9: The IFRS Interpretations Committee regulations-2019/?wpdmdl=35384 on July 22, 2019 published a webcast summarising Committee’s conclusions on presentation of credit- Finance Division (Expenditure Wing) GOP issues impaired financial asset being subsequently paid in full Public Financial Management Act 2019: The Finance or no longer being credit-impaired (cured). Division (Expenditure Wing) government of Pakistan, through memorandum No. 8(5)-Exp-III/2019-278 dated Further details of the IFRIC update can be accessed at: July 24, 2019 issued Public Financial Management https://www.ifrs.org/news-and-events/2019/07/ifrs-9- (PFM) Act 2019. The Act has been issued to strengthen webinar-curing-of-a-credit-impaired-financial-asset/ the management of public finance and improve the implementation of fiscal policy for better macro- IASB Update: The July 2019 International Accounting economic, financial and budget management. Further, Standards Board (IASB) Update has been published on in the same memorandum, the office of Financial July 29, 2019 and the work plan has been updated. The Advisers’ Organisation has been abolished. topics discussed at the July meeting were: SBP issues updated Prudential Regulations for n SME Standard review and update Agriculture Financing: State Bank of Pakistan (SBP) n Implementation matters: IFRIC Update issued updated Prudential Regulations (PR) for Agriculture n Classification of Liabilities as Current or Non-current Financing on July 23, 2019. The PR regulates the policy for (Amendments to IAS 1) agricultural financing and defines the process, limits, terms, n Goodwill and Impairment conditions and restrictions related to agricultural loans. n Management Commentary n Business Combinations under Common Control The updated regulations can be found at: n Financial Instruments with Characteristics of Equity http://www.sbp.org.pk/publications/prudential/index.htm n Rate-regulated Activities SBP issues circular for revision of selected chapters n Disclosure Initiative of Foreign Exchange Manual: State Bank of Pakistan n Primary Financial Statements (SBP) vide Foregin Exchange (FE) Circular No. 3 (dated n IBOR Reform and the Effects on Financial Reporting July 16, 2019) has revised the following chapters of the n Dynamic Risk Management Foreign Exchange Manual: 1. Chapter 8 Non-Resident Rupee Accounts Further, IASB also met with Financial Accounting 2. Chapter 9 Blocked Accounts Standards Board (FASB) on July 23, 2019. The following 3. Chapter 11 Dealings in Foreign Currency Notes and matters were discussed: Coins, etc. by the Authorised Dealers n Segment reporting n Primary Financial Statements/Financial Performance The above revised chapters of the FE Manual are being Reporting replaced with the existing chapters at the SBP’s website n Financial Instruments with Characteristics of Equity/ which are available at: Distinguishing Liabilities from Equity http://www.sbp.org.pk/fe_manual/index.htm n IBOR Reform Audit Oversight Board issues circular for revocation n Goodwill and Impairment/Identifiable Intangible of registration and removal of an audit firm: The Assets and Subsequent Accounting for Goodwill Audit Oversight Board (AOB) has issued a Circular n Disclosure Initiative/Disclosure Framework No. 1 of 2019 dated (July 12, 2019) for revocation of n Implementation registration and removal of an audit firm from the - Revenue register of audit firms. The updated list of registered - Leases audit firms is available on the website of AOB. Further details of the IASB update can be accessed at: The Circular can be accessed at: https://www.ifrs.org/news-and-events/2019/07/july- https://aob.gov.pk/wp-content/uploads/2019/07/ 2019-iasb-update-including-iasb-fasb-joint-meeting- Circular-1-2019.pdf published-and-work-plan-updated/ September 2019 17