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Fima Corporation Berhad
(21185-P)
financial statements
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NOTES TO THE FINANCIAL STATEMENTS
2.
SIGNIFICANT ACCOUNTING POLICIES (Cont’d.)
2.2 New FRSs, Amendments to FRS and IC Interpretations (Cont’d.)
(b) Standards Issued But Not Yet Effective (Cont’d.)
FRS 9 Financial Instruments
In November 2014, MASB issued the final version of FRS 9 Financial Instruments which reflects all phases of the
financial instruments project and replaces FRS 139 Financial Instruments: Recognition and Measurement and
all previous versions of FRS 9. The standard introduces new requirements for classification and measurement,
impairment and hedge accounting. FRS 9 is effective for annual periods beginning on or after 1 January 2018, with
early application permitted. Retrospective application is required, but comparative information is not compulsory. The
adoption of FRS 9 will have an effect on the classification and measurement of the Group’s financial assets, but no
impact on the classification and measurement of the Group’s financial liabilities.
(c) Malaysian Financial Reporting Standards (“MFRS”) Framework
On 19 November 2011, the Malaysian Accounting Standards Board (“MASB”) issued a new MASB approved
accounting framework, the Malaysian Financial Reporting Standards (“MFRS”) Framework.
The MFRS Framework is to be applied by all Entities Other than Private Entities for annual periods beginning on or
after 1 January 2012, with the exception of entities that are within the scope of MFRS 141 Agriculture (MFRS 141)
and IC Interpretation 15 Agreements for the Construction of Real Estate (IC 15), including its parent, significant
investor and venturer (herein called “Transitioning Entities”).
Transitioning Entities are allowed to defer adoption of the new MFRS Framework. The adoption of the MFRS
Framework by Transitioning Entities will be mandatory for annual periods beginning on or after 1 January 2018.
The Group falls within the scope definition of Transitioning Entities and accordingly, will be required to prepare
financial statements using the MFRS Framework in its first MFRS financial statements for the year ending 31 March
2019. In presenting its first MFRS financial statements, the Group will be required to adjust the comparative financial
statements prepared under FRS to amounts reflecting the application of MFRS Framework. The majority of the
adjustments required on transition will be made, retrospectively, against the opening retained earnings.
The Group has not completed its assessment of the financial effects of the differences between Financial Reporting
Standards and accounting standards under the MFRS Framework. Accordingly, the financial performance and
financial position as disclosed in these financial statements for the year ended 31 March 2017 could be different if
prepared under the MFRS Framework.
The Group expects to be in a position to fully comply with the requirements of the MFRS Framework for the financial
year ending 31 March 2019.