FBK Grant Thornton on Assessment of Methods Used to Calculate ECLs under IFRS 9 and Central Bank Guidelines

The Department of Assurance and Advisory to Financial Institutions has delivered a webinar on the assessment of methods used to calculate expected losses under IFRS 9.

Svetlana Ponkratova, an accounting and IFRS methodologist, said, “The Bank of Russia’s information letter on banks’ self-assessment of the quality of applied expected credit loss models and their application procedures is based on principles contained in recommendations of the Basel Committee on Banking Supervision.”
In his turn, Dmitriy Popov, a senior expert, said, “When selecting a methodology to calculate expected credit losses, an entity may be guided by the scope and complexity of the portfolio of financial instruments. Professional judgements related to estimates should be based on all available information about past events, current conditions and forecasts of future economic conditions.”