The International Accounting Standards Board (IASB) has today issued illustrative examples demonstrating how companies can apply IFRS Accounting Standards when reporting the effects of uncertainties in their financial statements. The examples use climate-related scenarios as practical illustrations, but the underlying principles apply more broadly to all uncertainties.
Stakeholders told the IASB that the information companies provide about the effects of uncertainties is sometimes insufficient or appears inconsistent with the information provided outside their financial statements. To help address this, the IASB developed these illustrative examples to improve the application of existing disclosure requirements. In finalising the examples, the IASB also considered stakeholder feedback.
A near-final staff draft of the illustrative examples was published in July 2025. The examples issued today differ from the near-final draft only in minor editorial details.
As accompanying materials to IFRS Accounting Standards, these illustrative examples do not have an effective date. However, companies would be expected to implement any change in their reporting on a timely basis.
Access the illustrative examples
IFRS Digital Subscribers can access Disclosures about Uncertainties in the Financial Statements—Illustrative examples and the Basis for Conclusions via the IFRS Standards Navigator. They are also available to purchase as a PDF in the IFRS Foundation Shop.
Followable tags
IFRS Accounting Standards development
IFRS 9 Financial Instruments
Connecting IFRS Accounting and IFRS Sustainability
Conceptual Framework for Financial Reporting
IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information
IFRS S2 Climate-related Disclosures
IAS 1 Presentation of Financial Statements
IAS 36 Impairment of Assets
IAS 37 Provisions, Contingent Liabilities and Contingent Assets
