The Malaysian Accounting Standards Board (MASB) has expressed its commitment to converge the Financial Reporting Standards (FRSs) with International Financial Reporting Standards (IFRSs) issued by the International Accounting Standards Board (IASB). According to a June 2007 MASB press release, prior to 2005, the policy of the Malaysian accounting standard-setters had been to adopt international standards, albeit adding additional explanatory guidance and examples in order to reflect local circumstances and cover topics not addressed in the international standards. In October 2005, the MASB issued in batches 21 FRSs, which had been revised in order to incorporate the revisions made by the IASB to IFRSs. In January 2006, FRSs were finalized for application in relation to financial statements that are required to be prepared or lodged under any law administered by the Securities Commission, Central Bank of Malaysia, or the Registrar of Companies for annual periods beginning on or after January 1, 2006. At the same time, it was announced that private entities may elect to use the former MASB standards which, according to a 2006 PricewaterhouseCoopers publication, differ from IFRSs. In line with its convergence policy, in June 2007, the MASB issued another batch of 10 revised FRSs. Finally, on August 1, 2008, the MASB and the Financial Reporting Foundation announced the plan to fully converge Malaysian accounting requirements for entities other than private entities with IFRSs by January 1, 2012. Although, as of 2008, most FRSs are identical to their international counterparts, several IFRSs, as well as some amendments to IFRSs and IFRIC interpretations, have not been adopted in Malaysia.

General Overview

A 2005 self-assessment prepared by the Malaysian Institute of Certified Public Accountants (MICPA) for the International Federation of Accountants (IFAC) provides an overview of the regulatory and legislative framework for financial reporting in Malaysia. According to the report, all companies incorporated under the Companies Act of 1965 (Section 166A) must prepare financial statements in accordance with the accounting standards issued by the Malaysian Accounting Standards Board (MASB). In addition to the requirements of the Companies Act, all licensed financial institutions and insurance companies are required to comply with the guidelines issued by the Central Bank of Malaysia (BNM) on accounting and financial reporting. Although the BNM relies on auditors in ensuring compliance with the reporting requirements, it also conducts regular reviews. Similarly, under the Securities Industry Act 1983 (section 99D), listed companies must submit their audited annual financial statements, interim and periodic financial reports to the Securities Commission (SC). The SC, the self-assessment notes, has the powers to enforce financial reporting requirements. To this effect it has established the Financial Reporting and Corporate Surveillance Department with responsibility to review on a regular basis financial statements of listed entities. Sanctions for non-compliance include investigation, civil proceedings, criminal prosecution, and administrative actions.

As mentioned above, accounting standards in Malaysia are issued by the MASB. The Deloitte IAS Plus website notes that prior to March 31, 1997, the Malaysian Institute of Accountants (MIA) and the Malaysian Association of Certified Public Accountants (MACPA) were the professional accounting bodies setting accounting standards for application in the preparation of financial statements in Malaysia. In March 1997, the MASB was established under the Financial Reporting Act of 1997, as the sole authority setting accounting standards in Malaysia. The Act also established the Financial Reporting Foundation (FRF) which has the responsibility for the oversight of the MASB's performance, financial and funding arrangements, and as an initial source of views for the MASB on proposed standards and pronouncements. It has no direct responsibility with regard to standard setting. The MICPA and the MIA are listed as members on the IFAC website.

Since its foundation, the MASB has expressed its commitment to convergence with International Financial Reporting Standards (IFRSs) issued by the International Accounting Standards Board (IASB). Quoting Dr. Nordin Mohd Zain, the MASB executive director, the June 2007 MASB Press release explains that prior to 2005 the policy of the Malaysian accounting standard-setters had been to adopt international standards, albeit adding additional explanatory guidance and examples in order to reflect local circumstances and cover topics not addressed in the international standards. In October 2005, the Malaysian Accounting Standards Board (MASB) issued in batches 21 new and revised Financial Reporting Standards (FRSs). The revisions mirror improvements carried out by the IASB to IFRSs. In January 2006, these FRSs were finalized for application in relation to financial statements that are required to be prepared or lodged under any law administered by the SC, the BNM, or the Registrar of Companies (RoC) for annual periods beginning on or after January 1, 2006.

On June 15, 2007 the MASB issued a Press Release announcing the adoption of another 10 revised FRSs, as well as The Framework for the Preparation and Presentation of Financial Statements. It was stated that the released standards are "virtually identical to the International Financial Reporting Standards (IFRSs) and IASB's accounting framework respectively." The standards were expected to become effective from July 1, 2007. The revision of the standards was prompted by the MASB's commitment to the full convergence with IFRSs. Finally, in the Press Release of August 1, 2008, the MASB and the FRF announced the plan to fully converge Malaysian accounting requirements for entities other than private entities with IFRSs by January 1, 2012. As explained on the MASB website, the plan entails a number of steps to be taken in order to achieve full convergence with IFRSs. Under full convergence, the MASB understands "full compliance with IFRS as a basis for financial reporting system in Malaysia." Although most of FRSs are identical to IFRSs, there are still a number of standards and interpretations to be adopted. Specifically, IFRS 7, IFRS 4, IAS 41, some amendments to IFRSs and IFRIC interpretations have not been adopted in Malaysia.

In February 2006, the MASB announced its decision to introduce a separate set of accounting standards for private entities which, according the MASB website, are defined as private companies incorporated under the Companies Act 1965 that (a) are not required to prepare/lodge any financial statements under any law administered by the SC or BNM; and (b) are not subsidiary/associate of/jointly controlled by (a) above. Private entities may elect to use Private Entity Reporting Standards (PERSs) in their entirety or FRSs in their entirety. According the 2006 publication by PricewaterhouseCoopers, "the announcement [to introduce PERS] means a significant diversion from IFRS for Malaysian private entities. While PERS is still reasonably similar to IFRS, there are some important differences" (p. 17).

The Principles

IFRS 1: First-time Adoption of International Financial Reporting Standards (effective 2006)

EN

As stated on the MASB website, FRS 1 First-time Adoption of Financial Reporting Standards was issued in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, FRS 1 is consistent with IFRS 1 as amended in 2006. However, the report further notes, subsequent amendments introduced by the IASB to IFRS 1 in 2008 have not been incorporated into FRS 1. The revised IFRS 1 will become effective for periods beginning on or after January 1, 2009.

IFRS 2: Share-based Payment (effective 2005)

EN

As stated on the MASB website, FRS 2: Share-based Payment was issued in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 2 is consistent with IFRS 2 [amended in 2006] except for the effective date of the transitional provision for equity-settled share-based payment transactions" (p. 2). However, the report further notes, subsequent amendments introduced by the IASB to IFRS 2 in 2008 have not been incorporated into FRS 2. The revised IFRS 2 will become effective for periods beginning on or after January 1, 2009.

IFRS 3: Business Combinations (effective 2004)

EN

As stated on the MASB website, FRS 3: Business Combinations was issued in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 3 is consistent with IFRS 3 [amended in 2006] except for the effective date of the transitional provision" (p. 2). However, the report further notes, subsequent amendments introduced by the IASB to IFRS 3 in 2008 have not yet been incorporated into FRS 3. The revised IFRS 3 will become effective for periods beginning on or after January 1, 2009.

IFRS 4: Insurance Contracts (effective 2006)

ID

The MASB's website indicates that in January 2006, the Board released for public comment the Exposure Draft (ED) 51 Insurance Contracts which, according to the text of the ED, "is identical with IFRS 4 Insurance Contracts, which was issued by the IASB in March 2004" (p. 2). As of August 2008, the ED was still outstanding. The 2008 PWC report notes that there are two existing MASB standards on insurance - FRS 202 (2004) General Insurance Business and FRS 203 (2004) Life Insurance Business, both standards operative for financial statements covering periods beginning on or after July 1, 2001. According to the report, FRS 202 (2004) and FRS 203 (2004) differ from IFRS 4.

IFRS 5: Non-current Assets Held for Sale and Discontinued Operations (effective 2005)

EN

As stated on the MASB website, FRS 5: Non-current Assets Held for Sale and Discontinued Operations was issued in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 5 is consistent with IFRS 5 [amended in 2006] except for the effective date of the transitional provision" (p. 3).

IFRS 6: Exploration for and Evaluation of Mineral Resources (effective 2006)

EN

As stated on the MASB website, FRS 6: Exploration for and Evaluation of Mineral Resources was issued in 2006 and has been effective for periods beginning on or after January 1, 2007. According to the 2008 PWC report, "FRS 6 is consistent with IFRS 6" (p. 3).

IFRS 7: Financial Instruments: Disclosures (effective 2007)

ID

In July 2007, the MASB released for comments ED 56 Financial Instruments: Disclosures, which is available on the MASB's website. According to the text of the ED 56, "MASB ED 56 is identical with IFRS 7 Financial Instruments: Disclosures, which was issued by the IASB in August 2005" (p. 2), although some editorial changes have been introduced. Comments to ED 56 were to be received by September 28, 2007.

IAS 1: Presentation of Financial Statements (effective 2007)

EN

As stated on the MASB website, FRS 101: Presentation of Financial Statements was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 101 is consistent with IAS 1 (revised 2003). Amendments to IAS 1 in 2005 on "Capital Disclosures" have not been incorporated into FRS 101" (p. 3). However, the ED 56 Financial Instruments: Disclosures states that the adoption of the ED 56 as a final standard will result in introducing consequential amendments on capital disclosure to FRS 101. Furthermore, the PWC report points to the fact that the subsequent amendments introduced by the IASB to IAS 1 in 2007 and 2008 and effective for periods beginning on or after January 1, 2009 have also not been incorporated into FRS 101.

IAS 2: Inventories (effective 2005)

EN

As stated on the MASB website, FRS 102: Inventories was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 102 is consistent with IAS 2" (p. 3).

IAS 7: Cash Flow Statements (effective 1994)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 107 Cash Flow Statements effective for periods commencing on July 1, 2007. According to the 2008 publication by PWC, FRS 107 (revised 2007) "is consistent with IAS 7 [amended in 2006]" (p. 3). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 7 and FRS 107 (2004) Cash Flow Statements. The differences related mostly to local guidance and editorial issues. FRS 107 (2004) had been operative since July 1, 1999.

IAS 8: Accounting Policies, Changes in Accounting Estimates and Errors (effective 2005)

EN

As stated on the MASB website, FRS 108: Accounting Policies, Changes in Accounting Estimates and Errors was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 108 is consistent with IAS 8 [amended in 2006] except that entity need not disclose impact of the following new standards prior to their effective dates: FRS 117 "Leases," FRS 124 "Related Party Disclosures," FRS 139 "Financial Instruments: Recognition and Measurement" (p. 4).

IAS 10: Events after the Reporting Period (effective 2005)

EN

As stated on the MASB website, FRS 110: Events After the Balance Sheet Date was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 110 is consistent with IAS 10 [amended in 2006]" (p. 4).

IAS 11: Construction Contracts (effective 1995)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 111 Construction Contracts effective for periods commencing on July 1, 2007. According to the 2008 publication by PWC, FRS 111 (revised 2007) "is consistent with IAS 11 [amended in 2006]" (p. 4). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 11 and FRS 111 (2004) Construction Contracts in order to achieve full convergence between the two standards. The differences related mostly to local guidance and editorial issues. FRS 111 (2004) had been operative since July 1, 1999.

IAS 12: Income Taxes (effective 2001)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 112 Income Taxes effective for periods commencing on July 1, 2007. According to the 2008 publication by PWC, FRS 112 (revised 2007) "is consistent with IAS 12 [amended in 2006]" (p. 4). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 12 and FRS 112 (2004) Income Taxes in order to achieve full convergence between the two standards. The differences related mostly to local guidance and editorial issues. FRS 112 (2004) had been operative since July 1, 2002.

IAS 14: Segment Reporting (effective 1998)

EN

As stated on the MASB website, FRS 114 (2004): Segment Reporting was amended in 2005 and has been effective for periods beginning on or after January 1, 2002. According to the 2008 PWC report, "FRS 114(2004) is consistent with IAS 14" (p. 4). However, IFRS 8 issued in 2006 and effective for periods commencing on or after January 1, 2009 has not been adopted in Malaysia." In July 2007, the MASB released for comments ED 57 Operating Segments, which is available on the MASB's website. Comments to ED 57 were to be received by September 28, 2007.

IAS 16: Property, Plant and Equipment (effective 2005)

EN

As stated on the MASB website, FRS 116: Property, Plant and Equipment was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 116 is consistent with IAS 16 [amended in 2006]" (p.4) with the exception of transitional provisions for certain types of companies.

IAS 17: Leases (effective 2005)

EN

As stated on the MASB website, FRS 117: Leases was revised in 2005 and has been effective for periods beginning on or after October 1, 2006. According to the 2008 PWC report, "FRS 117 is consistent with IAS 17 [amended in 2006] except that on the effective date of the FRS, previously revalued leasehold land shall retain the unamortized revalued amount as the surrogate carrying amount of prepaid lease payments" (p.4).

IAS 18: Revenue (effective 1995)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 118 Revenue effective for periods commencing on July 1, 2007. According to the 2008 publication by PricewaterhouseCoopers, FRS 118 (revised 2007) "is consistent with IAS 18 [amended in 2006] in all material respects except that FRS 118 does not deal with sale of development units in property development activities... covered in FRS 201 (2004) "Property Development Activities" (p. 5). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 18 and FRS 118 (2004) Revenue in order to achieve full convergence between the two standards. The differences related mostly to local guidance and editorial issues. FRS 118 (2004) had been operative since January 1, 2000.

IAS 19: Employee Benefits (effective 2006)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 119 Employee Benefits effective for periods commencing on January 1, 2003. According to the 2008 publication by PWC, FRS 119 (renamed in 2007) "is consistent with IAS 19 [amended in 2006]" (p. 5). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 19 and FRS 119 (2004) Employee Benefits in order to achieve full convergence between the two standards. The differences related mostly to local guidance and editorial issues. FRS 119 (2004) had been operative since January 1, 2003.

IAS 20: Accounting for Government Grants and Disclosure of Government Assistance (effective 1984)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 120 Accounting for Government Grants and Disclosure of Government Assistance effective for periods commencing on July 1, 2007. According to the 2008 publication by PricewaterhouseCoopers, FRS 120 (revised 2007) "is consistent with IAS 20 [amended in 2006]" (p. 5). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 20 and FRS 120 (2004) Accounting for Government Grants and Disclosure of Government Assistance in order to achieve full convergence between the two standards. The differences related mostly to local guidance and editorial issues. FRS 120 (2004) had been operative since January 1, 2004.

IAS 21: The Effects of Changes in Foreign Exchange Rates (effective 2005)

EN

As stated on the MASB website, FRS 121: The Effects of Changes in Foreign Exchange Rates was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. Amendments to FRS 121 regarding net investment in a foreign operation have been effective since July1, 2007. According to the April 2007 Updated on the Deloitte IAS Plus website, "the amendment is identical to the provisions of the limited revision to IAS 21." The PWC 2008 reports notes that "FRS 121 (together with the Amendment to FRS 121) is consistent with IAS 21" (p. 5), with the exception of the requirement to use Ringgit Malaysia as the presentation currency and "the effective date of the transitional provision where entity shall apply paragraph 47... prospectively to all acquisitions occurring after the beginning of the financial period in which FRS 121 is first applied" (p. 21).

IAS 23: Borrowing Costs (effective 1995)

EN

As stated on the MASB website, FRS 123 (2004): Borrowing Costs was issued in 2001 and has been effective for periods beginning on or after July 1, 2002. According to the 2008 PWC report, "FRS 123 (2004) is consistent with IAS 23" (p. 5). However, subsequent amendments introduced by the IASB to IAS 23 in 2007 have not been incorporated into FRS 123. The latest revision of IAS 23 will become effective for periods beginning on or after January 1, 2009.

IAS 24: Related Party Disclosures (effective 2005)

EN

As stated on the MASB website, FRS 124: Related Party Disclosures was revised in 2005 and has been effective for periods beginning on or after October 1, 2006. According to the 2008 PWC report, "FRS 124 is consistent with IAS 24 except that no disclosure of transactions is required in financial statements of state-controlled entities of transactions with either state-controlled entities" (p. 5).

IAS 26: Accounting and Reporting by Retirement Benefit Plans (effective 1998)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 126 Accounting and Reporting by Retirement Benefit Plans effective for periods commencing on January 1, 2003. According to the 2008 publication by PWC, FRS 126 (renamed 2007) "is consistent with IAS 26 [issued in 1994]" (p. 6). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 26 and FRS 126 (2004) in order to achieve full convergence between the two standards. FRS 126 (2004) had been operative since January 1, 2003.

IAS 27: Consolidated and Separate Financial Statements (effective 2005)

EN

As stated on the MASB website, FRS 127 Consolidated and Separate Financial Statements was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 127 is consistent with IAS 27 except that FRS 127 prescribes that, for a parent company to be exempted from presenting consolidated financial statements, it requires, among others, that the ultimate or any intermediate parent to be incorporated in Malaysia" (p. 6). Furthermore, the report notes, subsequent amendments introduced by the IASB to IAS 27 in 2008 have not been incorporated into FRS 127. The latest revision of IAS 27 will become effective for periods beginning on or after January 1, 2009.

IAS 28: Investments in Associates (effective 2005)

EN

As stated on the MASB website, FRS 128 Investments in Associates was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 128 is consistent with IAS 28 except that FRS 128 prescribes that, for an investor to be exempted from accounting for its investment in associate using the equity method, it requires, among others, that the ultimate or any intermediate parent to be incorporated in Malaysia" (p. 6).

IAS 29: Financial Reporting in Hyperinflationary Economies (effective 1990)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 129 Financial Reporting in Hyperinflationary Economies effective for periods commencing on January 1, 2003. According to the 2008 publication by PricewaterhouseCoopers, FRS 129 (renamed 2007) "is consistent with IAS 29 [amended in 2006]" (p. 6). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 29 and FRS 129 (2004). FRS 129 (2004) had been operative since January 1, 2003.

IAS 31: Interests in Joint Ventures (effective 2005)

EN

As stated on the MASB website, FRS 131 Interests in Joint Ventures was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 131 is consistent with IAS 31 except that FRS 131 prescribes that, for a venturer to be exempted from accounting for its investment in jointly controlled entity using the proportionate consolidation or equity method, it requires, among others, that the ultimate or any intermediate parent to be incorporated in Malaysia" (p. 6).

IAS 32: Financial Instruments: Disclosure and Presentation (effective 2005)

EN

As stated on the MASB website, FRS 132: Financial Instruments: Disclosure and Presentation was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 132 is based on the previous version of IAS 32 (revised in 2004). It is consistent with IAS 32 (revised in 2004) except that the component part classification only needs to be complied with in respect of compound financial instruments that are issued during the reporting period of an enterprise that begins on or after January 1, 2003" (p. 7). The report further notes that amendments resulting from the issuance of IFRS 7 and the revision of IAS 32 in 2008 (effective for periods commencing on January 1, 2009) have not been reflected in FRS 132. However, the ED 56 Financial Instruments: Disclosures states that the adoption of the ED 56 as a final standard will result in introducing consequential amendments to FRS 132.

IAS 33: Earnings per Share (effective 2005)

EN

As stated on the MASB website, FRS 133: Earnings per Share was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 133 is consistent with IAS 33 [amended in 2006]" (p.7).

IAS 34: Interim Financial Reporting (effective 1999)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 134 Interim Financial Reporting effective for periods commencing on July 1, 2007. According to the 2008 publication by PricewaterhouseCoopers, FRS 134 (revised in 2007) "is consistent with IAS 34 [amended in 2006]" (p. 7). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 34 and FRS 134 (2004). FRS 134 (2004) had been operative since July 1, 2002.

IAS 36: Impairment of Assets (effective 2004)

EN

As stated on the MASB website, FRS 136: Impairment of Assets was revised in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 136 is consistent with IAS 36 [amended in 2005]" (p.7).

IAS 37: Provisions, Contingent Liabilities and Contingent Assets (effective 1999)

EN

In its June 2007 press release, the MASB announced the adoption of FRS 137 Provisions, Contingent Liabilities and Contingent Assets effective for periods commencing on July 1, 2007. According to the 2008 publication by PricewaterhouseCoopers, FRS 137 (revised 2007) "is consistent with IAS 37 [amended in 2005]" (p. 8). The press release notes that in March 2007 the MASB issued ED 55 Proposed Amendments to Financial Reporting Standards which proposed, inter alia, to eliminate remaining differences between IAS 37 and FRS 137 (2004). FRS 137 (2004) had been operative since July 1, 2001.

IAS 38: Intangible Assets (effective 2004)

EN

As stated on the MASB website, FRS 138: Intangible Assets was issued in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 138 is consistent with IAS 38 [amended in 2005]" (p.7). Prior to the issuance of FRS 138, there had been no standard in Malaysia equivalent to IAS 38. MASB 4, Research and Development Costs (effective 1 July, 1999) was consistent, in all material respects, with International Accounting Standard IAS 9 (revised), Research and Development Costs. However, IAS 9 was superseded when IASB issued IAS 38. IAS 38 was further revised in March 2004. The revisions are effective for the periods commencing on March 31, 2004.

IAS 39: Financial Instruments: Recognition and Measurement (effective 2006)

ID

According to the 2008 PWC report, FRS 139: Financial Instruments: Recognition and Measurement was issued in 2005; however at the date of issuance the effective date was not specified. In 2006, the PWC reported that on May 3, 2006 the MASB announced that the effective date of FRS 139 shall be deferred to a date to be announced by the MASB. Subsequently, in August 2008, the MASB issued a Press Release, in which it announced that the effective date for applying FRS 139 will be January 1, 2010. As far as the compliance of FRS 139 with IAS 39 is concerned, Deloitte in its November 2005 update available from the IAS Plus website observed that "FRS 139 is identical to IAS 39 (revised) and it includes the transitional provision provided in the original IAS 39 to cater for entities adopting FRS 139 for the first time."

IAS 40: Investment Property (effective 2005)

EN

As stated on the MASB website, FRS 140: Investment Property was issued in 2005 and has been effective for periods beginning on or after January 1, 2006. According to the 2008 PWC report, "FRS 140 is consistent with IAS 40 except for the accounting treatment of entity that (a) has recorded its investment property in accordance with MASB Approved Accounting Standards IAS 16 "Property, Plant and Equipment"; and (b) has availed itself the transitional provisions in MASB Approved Accounting Standard IAS 16" (p. 8).

IAS 41: Agriculture (effective 2003)

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According to the MASB website, in January 2006, the MASB released the Exposure Draft 50 Agriculture which, according to the text of the ED, "is identical with IAS 41 Agriculture, which was issued by the IASB on 22 February 2001" (p. 2). As of August 2008, the ED was still outstanding.