New International Accounting Standards Board IFRS9 rules on asset impairment take effect in 2018. Also, new U.S. Financial Accounting Standards Board (FASB) rules for recognizing and measuring current expected credit loss (CECL) take effect in 2020. While nominally called “accounting changes” for asset impairment, these new rules will have a much more extensive business impact.
Regulation & Compliance
IFRS9 will have a substantial financial impact on banks and will involve significant implementation challenges. But with optimal compliance, banks can achieve an acceptable financial impact in a way that minimizes effort but is still sufficiently prudent to ensure compliance.
Take advantage of Compliance
To achieve this goal, banks will need substantial support from technology.
GDS MODELLICA offers a high performance IFRS9 Impairment engine, that includes a powerful simulation module, aimed to facilitate and accelerate the whole process and bring financial institutions into compliance on time and in an advantageous position.