The International Accounting Standards Board (IASB) has issued a press release which outlisnes the proposed timetable to replace IAS 39 Financial Instruments: Recognition and Derecognition.
The IASB will develop measurement methods including consideration of the expected loss methodology, impairment, and effective interest rate for a cost-based method between April and June of this year.
Decisions around measurement and categorisation are expected in July with application guidance being developed in August.
The IASB also reviewed the recently published FASB Staff Position, FSP FAS 157-4 (FSP) Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That are Not Orderly.
The IASB confirmed that the guidance issued by the FASB is consistent with the guidance on IFRSs contained in the IASB's Expert Advisory Panel report, Measuring and disclosing the fair value of financial instruments in markets that are no longer active. The FSP should not result in differing practices.