Egypt – The insurance sector to adopt IFRS9
Friday, 07 06 2018, Category: Insurance and Reinsurance, Country: Egypt
The Insurance Federation of Egypt is considering the implementation of the accounting standard IFRS9, which has been adopted by banks. It tackles technical reserves, capital adequacy models and an accumulated risk reserve taken from after tax net profit of year 2017, which is equivalent to 1% of total credit risks.
The companies will start implementing this standard in year 2020 according to the financial manager of one insurance company. He added that the Egyptian Financial Supervisory Authority is to issue a decision for the compulsory implementation of this standard by year 2020 noting that it helps measure assets and liabilities and capacity to face risks as well as analyzing performance and financial statements.
Source: Al Mal News