FBK GT Arranges Business Breakfast for Non-Government Pension Funds
Experts of the Department of Assurance and Advisory to Financial Institutions have arranged a business breakfast dedicated to transition to new accounting standards, which is relevant for the pension insurance market.
The attendees discussed the most complicated provisions of IFRS 17 to be applied by non-government pension funds and principal aspects of new pension insurance regulations drafted by the Central Bank of Russia. The second part of the business breakfast was dedicated to new requirements to accounting for financial instruments under IFRS 9, which non-government funds will have to adopt at the same time as IFRS 17.
Maksim Chikishev, the Head of Advisory to Insurance Companies, pointed out that the new standards will become effective starting from 2022, so it is the best timing now for non-government pension funds to start phased implementation of IFRS 17 and IFRS 9 so that their financial statements fully comply with the new requirements by the indicated time.
In conclusion, Anastasia Terekhina, an Associate Director of the Department of Assurance and Advisory to Financial Institutions, said, “Despite specifics of state-controlled pension regulation in our country, the Central Bank clearly indicated in its draft industry-specific standards for non-government pension funds that pension insurance contracts should be recognised in accordance with the requirements of International Financial Reporting Standards.”
The business breakfast brought together heads of financial and actuarial departments, chief accountants and other financial experts from big non-government pension funds. The event was supported by Homnet Consulting, a leading Russian developer and systems integrator of 1C-based software for financial and holding companies.