The International Accounting Standards Board (IASB) has today issued amendments that clarify how companies should translate financial statements from a non-hyperinflationary currency into a hyperinflationary one.
These narrow-scope amendments aim to improve the usefulness of the resulting information in a cost-effective manner. Developed in response to stakeholder feedback, these amendments are expected to reduce diversity in practice and provide a clearer basis for reporting in a hyperinflationary currency.
The amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates are effective for annual periods beginning on or after 1 January 2027. Companies can choose to apply them earlier.
Access the amendments
IFRS Digital subscribers can access Translation to a Hyperinflationary Presentation Currency (Amendments to IAS 21) via the IFRS Standards Navigator. PDF copies are available to order from the Web Shop.
Followable tags
IFRS Accounting Standards development
IFRS Accounting Standards, Amendments and Interpretations
IAS 21 The Effects of Changes in Foreign Exchange Rates
