2.3. Statement of compliance with IFRS
The present consolidated financial statements have been prepared in accordance with International Financial Reporting Standards as endorsed by the European Union (“IFRS EU”).
The present consolidated financial statements have been prepared in accordance with the requirements specified in International Accounting Standards (“IAS”) and International Financial Reporting Standards endorsed by the European Union (“IFRS EU”), as well as the related interpretations, except for the standards and interpretations listed below, which are awaiting endorsement by the European Union or have already been endorsed by the European Union but entered or will enter into force after the end of the reporting period.
In the period included in these consolidated financial statements, the Group did not early apply standards and interpretations endorsed by the EU, which will enter into force after the balance sheet date.
New standards, interpretations and amendments to these standards that have already been issued by the International Accounting Standards Board (IASB) but not yet approved by the European Union
| Standards / Interpretations | Date of issue/ publication | Date of entry into force in EU | Approved by the EU | Description of changes |
|---|---|---|---|---|
| IFRS 17 Insurance Contracts: First application of IFRS 17 and IFRS 9 – comparative data | 09.12.2021 | 01.01.2023 | No | The amendments provide a transitional option for comparative information on financial assets presented on initial application of IFRS 17. The amendment is intended to help entities avoid temporary accounting mismatches between financial assets and insurance contract liabilities, thereby improving the usefulness of comparative information for users of financial statements.
The changes will not significantly affect the Group’s financial statements. |
| Amendments to IAS 1, Presentation of financial statements – classification of liabilities as short-term and long-term |
23.01.2020/ 15.07.2020 |
01.01.2023 | No | Amendments to IAS 1 affect the requirements for presenting liabilities in the statement of financial position. In particular, they explain the difference between classification of liabilities as short-term or long-term ones – the classification shall be based on the rights existing at the end of the reporting period. The prospective approach will be applicable while introducing these amendments.
The changes will not significantly affect the Group’s financial statements. |
| Amendments to IAS 8, Definition of accounting estimates | 12.02.2021 | 01.01.2023 | No | In the amendment to IAS 8 Definition of Accounting Estimates, the definition of change in accounting estimates was replaced by the definition of accounting estimates. According to the new definition, accounting estimates are monetary amounts in financial statements that are subject to measurement uncertainty. The Board also clarified the new definition through additional guidance and examples of how accounting policies and accounting estimates are related and how a change in valuation technique constitutes a change in accounting estimate. The introduction of the definition of accounting estimates and other amendments to IAS 8 were intended to help entities distinguish between changes in accounting policies and changes in accounting estimates.
The change will not significantly affect the Group’s financial statements. |
| Amendments to IAS 1 and IFRS 2 Practice Statement on Disclosure of accounting policies | 12.02.2021 | 01.01.2023 | No | The amendments to IAS 1 and IFRS 2 Practice Statement are intended to help preparers decide which accounting policies to disclose in their financial statements. The amendments introduce the requirement to disclose significant information concerning accounting policies instead of significant accounting policies. The amendments clarify that accounting policy information may be material by its nature even if the amounts are immaterial and users of financial statements would need it to understand other material information in the financial statements.
The changes will not significantly affect the Group’s financial statements. |
| Amendments to IAS 12 Deferred Tax related to Assets and Liabilities arising from a Single Transaction | 07.05.2021 | 01.01.2023 | No | The changes aim to clarify how companies account for deferred tax on transactions such as leases and decommissioning obligations.
The changes will not significantly affect the Group’s financial statements. |
New standards, interpretations and amendments to the existing standards, that have been issued by the International Accounting Standards Board (IASB), approved by the European Union but not yet effective and have not been implemented by the Group yet
| Standards / Interpretations |
Date of issue/ publication |
Date of entry into force in EU |
Approved by the EU |
Description of changes |
|---|---|---|---|---|
| IFRS 17 “Insurance Contracts”, amendments to IFRS 17 | 18.05.2017, amendments issued on 25.06.2020 amendments published on 23.11.2021 |
01.01.2023 | 19.11.2021 | IFRS 17 'Insurance Contracts’ will replace the IFRS 4 'Insurance Contracts’ standard, which allows insurance contracts to continue to be accounted under the accounting rules applicable in national standards and which consequently implies a number of different solutions. IFRS 17 requires consistent recognition of all insurance contracts. Liabilities arising from contracts will be recognised at present values instead of historical cost. The standard is to be applied based on a full retrospective approach (if inapplicable, an entity should use the modified retrospective approach or the fair value approach).
The amendments are intended to:
The changes will not significantly affect the Group’s financial statements. |
| Amendments to IFRS 3 Business combinations; IAS 16 Property, plant and equipment; IAS 37 Provisions, contingent liabilities and contingent assets; annual improvements 2018-2020 | 14.05.2021 | 01.01.2022 | 02.07.2021 | Amendments to IFRS 3 „Business combinations” update the reference to the Framework for Financial Reporting present in IFRS 3 without changing the requirements for accounting for business combinations.
Amendments to IAS 16 „Property, plant and equipment” prohibit a company from deducting the amounts received from the sale of items produced in the process of preparation of the asset’s to its intended use from the asset’s purchase price or from the production cost of property, plant and equipment. Instead, the company should recognise the sales revenue and related costs in the statement of profit or loss. Amendments to IAS 37 „Provisions, contingent liabilities and contingent assets” determine which costs should be considered when assessing whether the contract will result in a loss. Annual improvements introduce minor changes to IFRS 1 First-time adoption of IFRS, IFRS 9 Financial instruments, IAS 41 Agriculture and the Illustrative Examples accompanying IFRS 16 Leases. The changes will not significantly affect the Group’s financial statements. |
New standards, interpretations and amendments to the existing standards, that have been issued by the International Accounting Standards Board (IASB), approved by the European Union and are effective and have been implemented by the Group
| Standards / Interpretations |
Date of issue/ publication |
Date of entry into force in EU |
Approved by the EU |
Description of changes |
|---|---|---|---|---|
| Amendments to IFRS 16: COVID-19-Related Rent Concessions beyond 30 June 2021 | 31.03.2021 | 01.04.2021 | 31.08.2021 | The amendments increase the scope of changes introduced to IFRS 16: Covid-19-Related Rent Concessions, which was issued on 28 May 2020, provides a practical exception that allows tenants not to assess whether rental concessions that occur as a direct consequence of pandemic COVID-19 and meet certain conditions are modifications to the lease agreement and, instead, to recognise those rental concessions as if they were not modifications to the agreement. The amendment to IFRS 16 extends the application period of the practical exception by 12 months from 30 June 2021 to 30 June 2022.
The changes will not significantly affect the Group’s financial statements. |
| Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 15 – IBOR reform – Phase II | 27.08.2020 | 01.01.2021 | 15.01.2021 | The provisions published under Phase II of the IBOR reform relate to:
The impact of the reform is detailed in note 56.5 Interest rate risk in the banking book (ALM Treasury). |
| Amendments to IFRS 4 Insurance Contracts – deferral of IFRS 9 | 25.06.2020 | 01.01.2021 | 15.12.2020 | The amendments provide two optional arrangements to reduce the impact of different effective dates of IFRS 9 and IFRS 17.
The changes will not significantly affect the Group’s financial statements. |
| Amendments to IFRS 16 Leases – Covid-19-related Rent Concessions beyond 30 June 2021 | 28.05.2020 | 01.06.2020 | 09.10.2020 | The amendments provide an option for lessees not to treat rent concessions as lease modifications if they are a direct consequence of COVID-19 and meet certain conditions.
The changes will not significantly affect the Group’s financial statements. |