Exposure Draft IASB/ED/2025/1 Risk Mitigation Accounting (Proposed amendments to IFRS 9 and IFRS 7)

The International Accounting Standards Board (IASB) has published the Exposure Draft Risk Mitigation Accounting, proposing amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosure for public comment.

The Exposure Draft is proposing 

• to add a risk mitigation accounting model for companies managing repricing risk on a net basis; and 

• to require a company to disclose its strategy for managing repricing risk and the effects of its risk management activities. 

The Exposure Draft also proposes to withdraw the requirements in IAS 39 Financial Instruments: Recognition and Measurement for macro hedge accounting and the option in paragraph 6.1.3 of IFRS 9 to apply the requirements in IAS 39 to a portfolio hedge of interest rate risk. 

In the IASB’s view, the proposed amendments would: 

• better represent in the financial statements the effects of a company’s activities to mitigate repricing risk; and

• provide useful information to users of financial statements about how a company manages repricing risk and the extent to which this risk is mitigated.

Request for fieldwork

In addition to inviting comments on the proposals in the Exposure Draft, the IASB also invites companies that manage repricing risk on a net basis to carry out fieldwork during the comment period of the Exposure Draft, to assess the likely effects of the proposed risk mitigation accounting model. For more information about this request for fieldwork, please visit the IASB’s project website. 

Click here to download the 

• Exposure Draft, 

• Basis for Conclusions, 

• Illustrative Examples and Implementation Guidance, 

• Snapshot and the 

• fieldwork questionnaire.

Invitation to comment

Please send us your comments via email at technical@masb.org.my by the closing deadline of 30 June 2026.

Click here to submit your comments.