EFRAG Endorsement Advice on Amendments to IAS 21

​EFRAG has completed its due process regarding Amendments to IAS 21, The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability, and has submitted its Endorsement Advice Letter to the European Commission.The Endorsement Advice Letter to the European Commission can be found here.

​In August 2023, the IASB issued the Amendments to IAS 21, The Effects of Changes in Foreign Exchange Rates: Lack of Exchangeability ('the Amendments'), which were initially issued as an exposure draft ED/2021/4 in April 2021. The Amendments are effective for annual periods beginning on or after 1 January 2025. They specify when a currency is exchangeable into another currency and, consequently, when it is not, how an entity determines the exchange rate to apply when a currency is not exchangeable, and the disclosures an entity provides when a currency is not exchangeable.

EFRAG has submitted its Endorsement Advice relating to the Amendments for use in the European Union and European Economic Area. EFRAG assesses that the Amendments meet the technical endorsement criteria of the IAS Regulation and are conducive to the Euro​​​pean public good. EFRAG therefore recommends their endorsement. EFRAG's recommendation can be found in a letter to the European Commission and its accompanying appendices.
The​​ Endorsement Advice Letter to the European Commission can be found here. 
The project page containing all relevant documents and news items can be found here.

EFRAG has also updated its Endorsement Status Report, which can be downloaded here on EFRAG's web page.