August 14, 2018
BSP CIRCULAR NO. 1011-18
SUBJECT | : | Guidelines on the Adoption of the Philippine Financial Reporting Standard (PFRS) 9 — Financial Instruments |
The Monetary Board in its Resolution No. 1226 dated 26 July 2018, approved the following guidelines governing the adoption of PFRS 9 — Financial Instruments.
SECTION 1. Subsection X191.3 of the Manual of Regulations for Banks (MORB), Subsection 4191Q.3 and Section 4161N of the Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) are hereby amended to read as follows:
"Subsection X191.3/4191Q.3/Section 4161N. Philippine Financial Reporting Standards (PFRS). —
Statement of Policy. It is the thrust of the Bangko Sentral to align its financial reporting requirements with standards and practices that are widely accepted internationally to promote fairness, transparency, and accountability in the financial industry. In this light, the Bangko Sentral is issuing guidelines governing the adoption of the PFRS, aimed at ensuring consistency of application and comparability of financial reports across the industry.
a. Adoption of PFRS. BSP Supervised Financial Institutions (BSFIs) shall adopt PFRS in recording transactions and in the preparation of financial statements and reports to...