Welcome to the Centre for International Central Bank Dialogue
Accounting for Banking Supervisors, from 06.07.2027 till 08.07.2027 in Frankfurt
Objective
The treatment of financial instruments under the IAS/IFRS accounting framework is of particular interest to banking supervisors, who are not generally trained as accountants. Nevertheless, the financial crisis revealed a particular weakness in banking supervision in this area. The course will cover both the old and the new standards and their implications for banking supervisors. Participants in this course will gain insight into the basic structure of the most common financial instruments, with particular emphasis on how they are combined to create more advanced forms of financial investment. Another area on which the seminar will focus is the risk structure of financial instruments and its impact on their accounting treatment. The latest IFRS developments aim to bring accounting regulations into line with the requirements of Basel II and Basel III. Particular attention will be paid to the “three-bucket approach” to the treatment of loans, which will be a focus of this course.
To deepen their knowledge in this specific area, participants will be asked to prepare presentations, preferably on financial instruments typically used by domestic banks, as well as on the general structure of the respective capital markets and the problems arising from those specific structures.
Content
- Forms and risk structures of financial instruments currently traded worldwide
- Accounting treatment under IAS 32 and IAS 39 (the “old world”)
- Accounting treatment under IFRS 9 (the “new world”)
- The “three-bucket approach” under IFRS 9 and models for calculating the required probabilities of default
Target group
Mid to senior-level banking supervisors from central banks and supervisory authorities. Please be prepared to actively contribute to discussions, e.g. via short presentations on their national implementation.