08 May 2018

Deloitte comment letter on tentative agenda decision on IFRS 9 — Classification of a particular type of dual currency bond

Deloitte has published its comment letter on IFRS Interpretations Committee tentative agenda decisions related to IFRS 9 (classification of a particular type of dual currency bond), as published in the March 2018 IFRIC Update.

Deloitte has commented on the IFRS Interpretations Committee's publication in the March 2018 IFRIC Update of the tentative decision not to take onto the Committee's agenda the request for clarification on the classification by a holder of a ‘dual currency bond’ with a par amount denominated in one currency and fixed interest coupon payments denominated in another.

Deloitte agrees with the IFRS Interpretations Committee's decision not to add this item onto its agenda for the reasons set out in the tentative agenda decision; however, Deloitte is concerned that a statement only that “the financial instrument described in the request is not common” provides no guidance to preparers of financial statements and could give rise to divergence in practice.

Full comment letter

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