SRO 986 (I)/2019 Notification IFRS-16

GOVERNMENT OF PAKISTAN
SECURITIES AND EXCHANGE COMMISSION OF PAKISTAN Islamabad, the 2 nd September, 2019 NOTIFICATION S.R.O. 986 (I)/2019.- In exercise of the powers conferred by section 510 read with sub￾section (3) of section 225 of the Companies Act, 2017 (XIX of 2017) and in partial modification of S.R.O. 24(I)/2012, dated 16 th January, 2012, the Securities and Exchange Commission of Pakistan hereby grants exemption from requirements of International Financial Reporting Standards (“IFRS”) to all companies that have executed their power purchase agreements before January 1, 2019, as follows- (a) IFRS 16 (Leases) to the extent of the power purchase agreements executed before the effective date of IFRS 16 i.e. January 1, 2019; (b) International Accounting Standard 21 (The Effects of Changes in Foreign Exchange Rates) to the extent of capitalization of exchange differences; and (c) In case of capitalization of exchange differences under (b) above, recognition of embedded derivative under IFRS 9 (Financial Instruments) shall not be permitted. ______________________________________________________________________________ [File. No. EMD/IACC/4/2009]