KASIKORNTHAI Regulatory Capital and Financial Performance Update slide image

KASIKORNTHAI Regulatory Capital and Financial Performance Update

K KASIKORNTHAI TFRS and IFRS Implementation* 2013 2015 2016 2020 ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK 2022 2025 TAS 21: Effects of Changes in Foreign Exchange Rates Translate 'Functional Currency' to 'Presentation Currency' TFRS 8: Operating Segments Disclose operating results for each key segment TFRS 13: Fair value TFRS 4: Insurance Contracts Measurement Clear required factors and disclosure about fair valuation ➤ Measure insurance liability based on cash flow estimation ➤ Additional disclosure regarding risk exposure TFRS 16 (Leases) A single, on-balance sheet accounting model for lessee that is similar to current finance lease accounting. TFRS 9, TFRS 7 & TAS 32: Financial Instruments ➤Impairment is based on 3-stage classification and introduce lifetime forward-looking concept. However, no significant impact to Thai banks as adopted new BOT provisioning rule since December 2006 ➤ Unquoted equities at cost to be faired value and not able to realize capital gain/loss in profit and loss if they are faired valued through OCI ➤ Interest revenue of lending portfolio will be recognized per effective interest rate ➤ Investment in property fund, REIT, infrastructure fund and infrastructure trust established in Thailand will be classified as equity instrument. (Refer to announcement from TFAC dated 25 June 2020) TFRS 17: Insurance Contracts Insurance revenue will be based on margin, not gross premium received Expected day one loss is immediately realized while expected gain is deferred over coverage period TFRS 9 Amendments from Interest Rate Reform ➤ Replacement of IBOR with new benchmark rate is considered as continuation of existing contract and/or hedge strategies. ➤Changing rate is reflected in new EIR or hedge ineffectiveness. Note: TAS = Thai Accounting Standard; TFRS = Thai Financial Reporting Standard; TFRIC = Thai Financial Reporting Interpretations Committee OCI Other Comprehensive Income Customer loyalty program concept of income deferral for reward credit has been adopted through IFRS15 since 2019 with no significant impact. No specific accounting guideline for digital assets has been enforced; but encourage to apply from existing relevant TFRS depends on terms and condition of digital assets. * Only financial and disclosure impact to Thai Banks บริการทุกระดับประทับใจ K KASIKORNTHAI Government Policy ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK 131 บริการทุกระดับประทับใจ 132
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