IFRS 9: EBA publishes amended final draft ITS on supervisory reporting

The EBA has published its final report on amendments to the ITS on supervisory reporting (Regulation (EU) No 680/2014) under the Capital Requirements Regulation (CRR). The final draft ITS relate to the reporting of financial information and propose amendments due to the finalisation of IFRS 9 by the International Accounting Standards Board (IASB), which were endorsed into EU law on 22 November 2016.

While amendments are focused on the changes relating to IFRS 9 and their consequences for GAAP templates, the EBA also deemed it necessary to review some parts of the FINREP framework based on experience using the data transmitted and feedback received from compiling institutions. The changes include:

• refinements to the concepts of gross carrying amount;
• accumulated changes in fair value due to credit risk;
• non-performing and forborne exposures;
• the reporting of economic hedges; and
• investments in associates, subsidiaries and joint ventures.

The EBA proposes to replace the ITS on supervisory reporting Annexes III (templates for reporting FINREP IFRS), IV (templates for reporting FINREP GAAP) and V (instructions for reporting FINREP) in their entirety.

The final draft ITS will be submitted to the EU Commission for endorsement before being published in the Official Journal and will update and amend the existing ITS.