International Financial Reporting Standards 9
25 October 2023
IFRS 9 (International Financial Reporting Standards 9) is a global accounting standard developed by the International Accounting Standards Board (IASB) that addresses the classiﬁcation and measurement of ﬁnancial instruments, as well as how to account for impairment of ﬁnancial assets.
IFRS 9 introduced a new approach to accounting for credit losses on ﬁnancial assets, such as loans and trade receivables. The concept of Expected Credit Loss (ECL) is a central feature of IFRS 9's impairment model. ECL represents the amount of loss that an entity expects to incur on a ﬁnancial instrument over its lifetime due to default events.