Many commentators have suggested that the current approach to
the fair value measurement of financial instruments has had a
destabilising effect on some entities. Furthermore, a significant
number of commentators have raised concerns that financial
statements under the existing standards do not provide enough
transparency, particularly when it comes to complex financial
instruments and fair values. As a consequence the International
Accounting Standards Board (IASB) is taking a number of steps to
address the accounting requirements for financial instruments.
Improving financial instrument disclosures
'Improving disclosures about financial instruments
– amendments to IFRS 7 Financial Instruments:
Disclosures' has been issued in response to the concerns about
transparency of financial instrument disclosures. The main aim of
the amendments is to enable the user of financial statements to
have a better understanding of the measurements and judgements that
underpin the
