Published: Official Journal of the European Union (L 261/184, Volume 46, 13 October 2003)
INTERNATIONAL ACCOUNTING STANDARD (IAS) 30 (REFORMATTED 1994)
См. на русском языке
Настоящий МСФО заменен МСФО (IFRS) 7
Disclosures in the financial statements of banks and similar financial institutions
This reformatted International Accounting Standard supersedes the Standard originally approved by the Board in June 1990. It is presented in the revised format adopted for International Accounting Standards in 1991 onwards. No substantive changes have been made to the original approved text. Certain terminology has been changed to bring it into line with current IASC practice.
In 1998, paragraphs 24 and 25 of IAS 30 were amended. The amendments replace references to IAS 25, accounting for investments, by references to IAS 39, financial instruments: recognition and measurement.
In 1999, paragraphs 26, 27, 50 and 51 of IAS 30 were amended. These amendments replace references to IAS 10, contingencies and events occurring after the balance sheet date, by references to IAS 37, provisions, contingent liabilities and contingent assets, and conform the terminology used to that in IAS 3 7.
(1) See also SIC-30: reporting currency — translation from measurement currency to presentation currency.
CONTENTS
Paragraphs
Scope 1-5
Background 6-7
Accounting policies 8
Income statement 9-17
Balance sheet 18-25
Contingencies and commitments including off balance sheet items 26-29
Maturities of assets and liabilities 30-39
Concentrations of assets, liabilities and off balance sheet items 40-42
Losses on loans and advances 43-49
General banking risks 50-52
Assets pledged as security 53-54
Trust activities 5 5
Related party transactions 56-58
Effective date 59
The standards, which have been set in bold italic type, should be read in the context of the background material and implementation guidance in this Standard, and in the context of the 'Preface to International Accounting Standards'. International Accounting Standards are not intended to apply to immaterial items (see paragraph 12 of the Preface).
SCOPE
1. This Standard should be applied in the financial statements of banks and similar financial institutions
(subsequently referred to as banks).
2. For the purposes of this Standard, the term 'bank' includes all financial institutions, one of whose principal
activities is to take deposits and borrow with the objective of lending and investing and which are within the
scope of banking or similar legislation. The Standard is relevant to such enterprises whether or not they have
the word 'bank' in their name.
3. Banks represent a significant and influential sector of business worldwide. Most individuals and organisations
make use of banks, either as depositors or borrowers. Banks play a major role in maintaining confidence in
the monetary system through their close relationship with regulatory authorities and governments and the
regulations imposed on them by those governments. Hence there is considerable and widespread interest in
the well-being of banks, and in particular their solvency and liquidity and the relative degree of risk that
attaches to the different types of their business. The operations, and thus the accounting and reporting
requirements, of banks are different from those of other commercial enterprises. This Standard recognises
their special needs. It also encourages the presentation of a commentary on the financial statements which
deals with such matters as the management and control of liquidity and risk.
4. This Standard supplements other International Accounting Standards which also apply to banks unless they
are specifically exempted in a Standard.
5. This Standard applies to the separate financial statements and the consolidated financial statements of a bank.
Where a group undertakes banking operations, this Standard is applicable in respect of those operations on a
consolidated basis.
BACKGROUND
6. The users of the financial statements of a bank need relevant, reliable and comparable information which
assists them in evaluating the financial position and performance of the bank and which is useful to them in
making economic decisions. They also need information which gives them a better understanding of the
special characteristics of the operations of a bank. Users need such information even though a bank is subject
to supervision and provides the regulatory authorities with information that is not always available to the
public. Therefore disclosures in the financial statements of a bank need to be sufficiently comprehensive to
meet the needs of users, within the constraint of what it is reasonable to require of management.
7. The users of the financial statements of a bank are interested in its liquidity and solvency and the risks related
to the assets and liabilities recognised on its balance sheet and to its off balance sheet items. Liquidity refers
to the availability of sufficient funds to meet deposit withdrawals and other financial commitments as they
fall due. Solvency refers to the excess of assets over liabilities and, hence, to the adequacy of the bank's capital.
A bank is exposed to liquidity risk and to risks arising from currency fluctuations, interest rate movements,
changes in market prices and from counterparty failure. These risks may be reflected in the financial
statements, but users obtain a better understanding if management provides a commentary on the financial
statements which describes the way it manages and controls the risks associated with the operations of the
bank.
ACCOUNTING POLICIES
8. Banks use differing methods for the recognition and measurement of items in their financial statements.
While harmonisation of these methods is desirable, it is beyond the scope of this Standard. In order to comply
with IAS 1, presentation of financial statements, and thereby enable users to understand the basis on which
the financial statements of a bank are prepared, accounting policies dealing with the following items may
need to be disclosed:
(a) the recognition of the principal types of income (see paragraphs 10 and 11);
(b) the valuation of investment and dealing securities (see paragraphs 24 and 25);
(c) the distinction between those transactions and other events that result in the recognition of assets and
liabilities on the balance sheet and those transactions and other events that only give rise to contingencies
and commitments (see paragraphs 26 to 29);
(d) the basis for the determination of losses on loans and advances and for writing off uncollectable loans
and advances (see paragraphs 43 to 49); and
(e) the basis for the determination of charges for general banking risks and the accounting treatment of
such charges (see paragraphs 50 to 52).
Some of these topics are the subject of existing International Accounting Standards while others maybe dealt with at a later date.
INCOME STATEMENT
9. A bank should present an income statement which groups income and expenses by nature and discloses
the amounts of the principal types of income and expenses.
10. In addition to the requirements of other International Accounting Standards, the disclosures in the income
statement or the notes to the financial statements should include, but are not limited to, the following
items of income and expenses:
— interest and similar income,
— interest expense and similar charges,
— dividend income,
— fee and commission income,
— fee and commission expense,
— gains less losses arising from dealing securities,
— gains less losses arising from investment securities,
— gains less losses arising from dealing in foreign currencies,
— other operating income,
— losses on loans and advances,
— general administrative expenses, and
— other operating expenses.
11. The principal types of income arising from the operations of a bank include interest, fees for services,
commissions and dealing results. Each type of income is separately disclosed in order that users can assess
the performance of a bank. Such disclosures are in addition to those of the source of income required by
IAS 14, segment reporting.
12. The principal types of expenses arising from the operations of a bank include interest, commissions, losses
on loans and advances, charges relating to the reduction in the carrying amount of investments and general
administrative expenses. Each type of expense is separately disclosed in order that users can assess the
performance of a bank.
13. Income and expense items should not be offset except for those relating to hedges and to assets and
liabilities which have been offset in accordance with paragraph 23.
14. Offsetting in cases other than those relating to hedges and to assets and liabilities which have been offset as
described in paragraph 23 prevents users from assessing the performance of the separate activities of a bank
and the return that it obtains on particular classes of assets.
15. Gains and losses arising from each of the following are normally reported on a net basis:
(a) disposals and changes in the carrying amount of dealing securities;
(b) disposals of investment securities; and
(c) dealings in foreign currencies.
16. Interest income and interest expense are disclosed separately in order to give a better understanding of the
composition of, and reasons for changes in, net interest.
17. Net interest is a product of both interest rates and the amounts of borrowing and lending. It is desirable for
management to provide a commentary about average interest rates, average interest earning assets and
average interest-bearing liabilities for the period. In some countries, governments provide assistance to banks
by making deposits and other credit facilities available at interest rates which are substantially below market
rates. In these cases, management's commentary often discloses the extent of these deposits and facilities and
their effect on net income.
BALANCE SHEET
18. A bank should present a balance sheet that groups assets and liabilities by nature and lists them in an
order that reflects their relative liquidity.
19. In addition to the requirements of other International Accounting Standards, the disclosures in the balance
sheet or the notes to the financial statements should include, but are not limited to, the following assets
and liabilities:
Assets:
— cash and balances with the central bank,
— treasury bills and other bills eligible for rediscounting with the central bank,
— government and other securities held for dealing purposes,
— placements with, and loans and advances to, other banks,
— other money market placements,
— loans and advances to customers, and
— investment securities.
Liabilities:
— deposits from other banks,
— other money market deposits,
— amounts owed to other depositors,
— certificates of deposits,
— promissory notes and other liabilities evidenced by paper, and
— other borrowed funds.
20. The most useful approach to the classification of the assets and liabilities of a bank is to group them by their
nature and list them in the approximate order of their liquidity; this may equate broadly to their maturities.
Current and non-current items are not presented separately because most assets and liabilities of a bank can
be realised or settled in the near future.
21. The distinction between balances with other banks and those with other parts of the money market and from
other depositors is relevant information because it gives an understanding of a bank's relations with, and
dependence on, other banks and the money market. Hence, a bank discloses separately:
(a) balances with the central bank;
(b) placements with other banks;
(c) other money market placements;
(d) deposits from other banks;
(e) other money market deposits; and
(f) other deposits.
22. A bank generally does not know the holders of its certificates of deposit because they are usually traded on
an open market. Hence, a bank discloses separately deposits that have been obtained through the issue of its
own certificates of deposit or other negotiable paper.
23. The amount at which any asset or liability is stated in the balance sheet should not be offset by the
deduction of another liability or asset unless a legal right of set-off exists and the offsetting represents the
expectation as to the realisation or settlement of the asset or liability.
24. A bank should disclose the fair values of each class of its financial assets and liabilities as required by
IAS 32, financial instruments: disclosure and presentation, and IAS 39, financial instruments: recognition
and measurement.
25. IAS 39 provides for four classifications of financial assets: loans and receivables originated by the enterprise,
held-to-maturity investments, financial assets held for trading, and available-for-sale financial assets. A bank
will disclose the fair values of its financial assets for these four classifications, as a minimum.
CONTINGENCIES AND COMMITMENTS INCLUDING OFF BALANCE SHEET ITEMS
26. A bank should disclose the following contingent liabilities and commitments:
(a) the nature and amount of commitments to extend credit that are irrevocable because they cannot be
withdrawn at the discretion of the bank without the risk of incurring significant penalty or expense;
and
(b) the nature and amount of contingent liabilities and commitments arising from off balance sheet
items including those relating to:
(i) direct credit substitutes including general guarantees of indebtedness, bank acceptance guarantees and standby letters of credit serving as financial guarantees for loans and securities;
(ii) certain transaction-related contingent liabilities including performance bonds, bid bonds, warranties and standby letters of credit related to particular transactions;
(iii) short-term self-liquidating trade-related contingent liabilities arising from the movement of goods, such as documentary credits where the underlying shipment is used as security;
(iv) those sale and repurchase agreements not recognised in the balance sheet;
(v) interest and foreign exchange rate related items including swaps, options and futures; and
(vi) other commitments, note issuance facilities and revolving underwriting facilities.
27. IAS 37, provisions, contingent liabilities and contingent assets, deals generally with accounting for, and
disclosure of, contingent liabilities. The Standard is of particular relevance to banks because banks often
become engaged in many types of contingent liabilities and commitments, some revocable and others
irrevocable, which are frequently significant in amount and substantially larger than those of other commercial
enterprises.
28. Many banks also enter into transactions that are presently not recognised as assets or liabilities in the balance
sheet but which give rise to contingencies and commitments. Such off balance sheet items often represent an
important part of the business of a bank and may have a significant bearing on the level of risk to which the
bank is exposed. These items may add to, or reduce, other risks, for example by hedging assets or liabilities
on the balance sheet. Off balance sheet items may arise from transactions carried out on behalf of customers
or from the bank's own trading position.
29. The users of the financial statements need to know about the contingencies and irrevocable commitments of
a bank because of the demands they may put on its liquidity and solvency and the inherent possibility of
potential losses. Users also require adequate information about the nature and amount of off balance sheet
transactions undertaken by a bank.
MATURITIES OF ASSETS AND LIABILITIES
30. A bank should disclose an analysis of assets and liabilities into relevant maturity groupings based on the
remaining period at the balance sheet date to the contractual maturity date.
31. The matching and controlled mismatching of the maturities and interest rates of assets and liabilities is
fundamental to the management of a bank. It is unusual for banks ever to be completely matched since
business transacted is often of uncertain term and of different types. An unmatched position potentially
enhances profitability but can also increase the risk of losses.
32. The maturities of assets and liabilities and the ability to replace, at an acceptable cost, interest-bearing
liabilities as they mature, are important factors in assessing the liquidity of a bank and its exposure to changes
in interest rates and exchange rates. In order to provide information that is relevant for the assessment of its
liquidity, a bank discloses, as a minimum, an analysis of assets and liabilities into relevant maturity groupings.
33. The maturity groupings applied to individual assets and liabilities differ between banks and in their
appropriateness to particular assets and liabilities. Examples of periods used include the following:
(a) up to 1 month;
(b) from 1 month to 3 months;
(c) from 3 months to 1 year;
(d) from 1 year to 5 years; and
(e) from 5 years and over.
Frequently the periods are combined, for example, in the case of loans and advances, by grouping those under one year and those over one year. When repayment is spread over a period of time, each instalment is allocated to the period in which it is contractually agreed or expected to be paid or received.
34. It is essential that the maturity periods adopted by a bank are the same for assets and liabilities. This makes
clear the extent to which the maturities are matched and the consequent dependence of the bank on other
sources of liquidity.
35. Maturities could be expressed in terms of:
(a) the remaining period to the repayment date;
(b) the original period to the repayment date; or
(c) the remaining period to the next date at which interest rates may be changed.
The analysis of assets and liabilities by their remaining periods to the repayment dates provides the best basis to evaluate the liquidity of a bank. A bank may also disclose repayment maturities based on the original period to the repayment date in order to provide information about its funding and business strategy. In addition, a bank may disclose maturity groupings based on the remaining period to the next date at which interest rates may be changed in order to demonstrate its exposure to interest rate risks. Management may also provide, in its commentary on the financial statements, information about interest rate exposure and about the way it manages and controls such exposures.
36. In many countries, deposits made with a bank maybe withdrawn on demand and advances given by a bank
may be repayable on demand. However, in practice, these deposits and advances are often maintained for
long periods without withdrawal or repayment; hence, the effective date of repayment is later than the
contractual date. Nevertheless, a bank discloses an analysis expressed in terms of contractual maturities even
though the contractual repayment period is often not the effective period because contractual dates reflect
the liquidity risks attaching to the bank's assets and liabilities.
3 7. Some assets of a bank do not have a contractual maturity date. The period in which these assets are assumed to mature is usually taken as the expected date on which the assets will be realised.
38. The users' evaluation of the liquidity of a bank from its disclosure of maturity groupings is made in the
context of local banking practices, including the availability of funds to banks. In some countries, short-term
funds are available, in the normal course of business, from the money market or, in an emergency, from the
central bank. In other countries, this is not the case.
39. In order to provide users with a full understanding of the maturity groupings, the disclosures in the financial
statements may need to be supplemented by information as to the likelihood of repayment within the
remaining period. Hence, management may provide, in its commentary on the financial statements,
information about the effective periods and about the way it manages and controls the risks and exposures
associated with different maturity and interest rate profiles.
CONCENTRATIONS OF ASSETS, LIABILITIES AND OFF BALANCE SHEET ITEMS
40. A bank should disclose any significant concentrations of its assets, liabilities and off balance sheet items.
Such disclosures should be made in terms of geographical areas, customer or industry groups or other
concentrations of risk. A bank should also disclose the amount of significant net foreign currency
exposures.
41. A bank discloses significant concentrations in the distribution of its assets and in the source of its liabilities
because it is a useful indication of the potential risks inherent in the realisation of the assets and the funds
available to the bank. Such disclosures are made in terms of geographical areas, customer or industry groups
or other concentrations of risk which are appropriate in the circumstances of the bank. A similar analysis and
explanation of off balance sheet items is also important. Geographical areas may comprise individual
countries, groups of countries or regions within a country; customer disclosures may deal with sectors such
as governments, public authorities, and commercial and business enterprises. Such disclosures are made in
addition to any segment information required by IAS 14, segment reporting.
42. The disclosure of significant net foreign currency exposures is also a useful indication of the risk of losses
arising from changes in exchange rates.
LOSSES ON LOANS AND ADVANCES
43. A bank should disclose the following:
(a) the accounting policy which describes the basis on which uncollectable loans and advances are
recognised as an expense and written off;
(b) details of the movements in the provision for losses on loans and advances during the period. It
should disclose separately the amount recognised as an expense in the period for losses on
uncollectable loans and advances, the amount charged in the period for loans and advances written
off and the amount credited in the period for loans and advances previously written off that have
been recovered;
(c) the aggregate amount of the provision for losses on loans and advances at the balance sheet date;
and
(d) the aggregate amount included in the balance sheet for loans and advances on which interest is not
being accrued and the basis used to determine the carrying amount of such loans and advances.
44. Any amounts set aside in respect of losses on loans and advances in addition to those losses that have been
specifically identified or potential losses which experience indicates are present in the portfolio of loans
and advances should be accounted for as appropriations of retained earnings. Any credits resulting from
the reduction of such amounts result in an increase in retained earnings and are not included in the
determination of net profit or loss for the period.
45. It is inevitable that in the ordinary course of business, banks suffer losses on loans, advances and other credit
facilities as a result of their becoming partly or wholly uncollectable. The amount of losses which have been
specifically identified is recognised as an expense and deducted from the carrying amount of the appropriate
category of loans and advances as a provision for losses on loans and advances. The amount of potential
losses not specifically identified but which experience indicates are present in the portfolio of loans and
advances is also recognised as an expense and deducted from the total carrying amount of loans and advances
as a provision for losses on loans and advances. The assessment of these losses depends on the judgement of
management; it is essential, however, that management applies its assessments in a consistent manner from
period to period.
