Normative Requirements implied by IFRS 9

The new normative requirement IFRS 9 « Financial instruments » will apply as of 1st January 2018, in replacement of the norm IAS39 "Financial instruments : Accounting and Evaluation”.

The norm implies a full review of accounting process and evaluation of assets and liabilities, calcul of impairment and the general model of hedge accounting.

IFRS9 covers 3 phases: Classification & Measurement of Financial Assets, Impairment and Hedge accounting.

To begin with, a full review of Financial Instruments concepts and regulatory reporting needs to be implemented. Afterwards you need to go through three phases.

- Phase 1: Classification & Measurement of Financial Assets

- Phase 2: Impairment

- Hedge accounting is the third phase of the IFRS 9 project.

Implementation of the norm into the information system has to be started as soon as possible.