NAVIGATION

E-learnings: Charting Sustainability Reporting in Hong Kong – Public briefing on HKFRS S1 and S2

The free webinars on HKFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and HKFRS S2 Climate-related Disclosures have been archived for members’ access. These webinars are available in English or Cantonese with English terminology. Enrol now if you missed any of these sessions.

Webcast: Contracts Referencing Nature-dependent Electricity—Amendments to IFRS 9 and IFRS 7

In this webcast, the International Accounting Standards Board (IASB) technical staff explain the recent targeted amendments to International Financial Reporting Standard (IFRS) 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures, which aim to help companies better report the financial effects of nature-dependent electricity contracts. The amendments will become effective for annual reporting periods beginning on or after 1 January 2026, with early application permitted.

Webcast: Exposure Draft Provisions—Targeted Improvements

In this webcast, IASB technical staff explain proposed targeted amendments to International Accounting Standards 37 Provisions, Contingent Liabilities and Contingent Assets. The amendments aim to clarify:

when to recognise a provision;
which discount rate to use for measuring a long-term provision; and
which costs to include in the measurement of a provision.

IFRS Interpretations Committee agenda decision

The IFRS Interpretations Committee has published its agenda decision on Classification of Cash Flows related to Variation Margin Calls on ‘Collateralised-to-Market’ Contracts (IAS 7 Statement of Cash Flows).

ISSA 5000 and IESSA global baseline standards for sustainability assurance

The International Auditing and Assurance Standards Board (IAASB) and the International Ethics Standards Board for Accountants (IESBA) have launched an integrated effort to support effective implementation of their landmark standards in sustainability reporting and assurance:

International Standard on Sustainability Assurance 5000 (ISSA 5000) provides a principles-based framework for conducting assurance engagements on sustainability information reported by entities. Explore the available materials, including the IAASB’s FAQ video series.
International Ethics Standards for Sustainability Assurance (including International Independence Standards) (IESSA), the provisions related to sustainability reporting, and the new standards addressing using the work of an external expert in the International Code of Ethics for Professional Accountants (including International Independence Standards), establish a strong ethical foundation for sustainability reporting and assurance engagements. For more information, including fact sheets and webinar resources, visit the IESBA’s official website. Register for upcoming IESBA webinars in February and March to enhance your understanding of these standards.

For more information, visit the joint IAASB and IESBA webpage.

In jurisdictions adopting the standards, both ISSA 5000 and IESSA will become effective for periods starting on or after 15 December 2026, with early adoption permitted and encouraged. The Institute will follow its due process for the convergence and adoption of these standards.

AFRC Connect: How important is audit risk assessment?

The Accounting and Financial Reporting Council (AFRC) has launched a new video series called “AFRC Connect” to uphold audit quality and advance professional excellence in the accounting profession. The first episode focuses on the importance of audit risk assessment, offering practical insights and technical reminders in an easy-to-understand manner.

For more information on audit risk assessment, you may refer to the Institute's resources below:

AFRC study on market readiness for sustainability reporting and assurance in Hong Kong

In light of the AFRC’s study on the readiness of listed entities for sustainability reporting and assurance, and the readiness of public interest entity (PIE) auditors to provide sustainability assurance and address climate-related risks in financial audits, the AFRC advocates for improved sustainability assurance practices and urges auditors to incorporate climate risks in financial audits. This study also helps identify areas for capacity-building to support the Government’s roadmap implementation. For further insights, you can read the report here.

E-learnings sessions on the Code of Ethics

Sign up for the Institute’s e-learning sessions, which cover a range of key topics in the HKICPA Code of Ethics for Professional Accountants. These sessions include discussions on the new and revised pronouncements that will take effect on or after 15 December 2024.

HKICPA resource centre

Access resources and publications at the Institute’s Resource Centre to the Code where you can stay informed about the latest ethics pronouncements. Watch this video to learn how to easily access these valuable resources.

Webcast: Proportionality mechanisms in IFRS Sustainability Disclosure Standards

In this webcast, International Sustainability Standards Board (ISSB) member and technical staff explain how proportionality mechanisms support the application of IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures. They discuss what the proportionality mechanisms are, where the mechanisms appear in IFRS S1 and IFRS S2, and how companies should use the mechanisms to meet specific requirements in the ISSB Standards. The factsheet accompanying the webcast provides an overview of the proportionality mechanisms and the topics covered in the webcast.

Guide to help companies using the climate-first transition relief in ISSB Standards

When providing only climate-related information in accordance with ISSB Standards, companies are required to apply related requirements in IFRS S1. The IFRS Foundation has published a guide titled Applying IFRS S1 when reporting only climate-related disclosures in accordance with IFRS S2, to help companies understand how to report only climate-related information when applicable using the ISSB Standards.

Stakeholder event—disclosures about transition plans

IFRS S2 requires that information be disclosed if an entity has a transition plan. To support this requirement, the IFRS Foundation is developing a guidance document that builds on the disclosure-specific materials authored by the Transition Plan Taskforce (TPT).

The IFRS Foundation is organizing a virtual stakeholder event on 25 February to tailor the TPT materials for global applicability and ensure compatibility with the ISSB global baseline and IFRS S2’s focus on disclosures of the climate-related risks and opportunities affecting an entity’s prospects. The deadline for registration is 7 February.

Announcements by the Inland Revenue Department

Members may wish to be aware of the following matters:

Announcements by the government

Members may wish to be aware of the following matters:

Anti-money laundering (AML) notices and news

Industry update

Institute members can participate for free in the live webinar titled, “Mastering AML/CTF Compliance: Regulatory Updates, Strategic Frameworks and RegTech Solutions” organized by Ingenique Solutions. The event will be held on 25 February.

Sanctions update

AML notices:

The United Nations Sanctions (Yemen) Regulation 2019 (Amendment) Regulation 2025 was gazetted on 24 January.
For the current lists of terrorists, terrorist associates and relevant persons/ entities under United Nations sanctions, members should refer regularly to the Institute's AML webpage. Other useful documents and guidance can also be found on the same page.

Publications from other organizations:

10 trendy workforce terms CFOs should know in 2025 from CFO.com
From data to destiny – how AI can turbocharge your business future from Entrepreneur.com
Cybersecurity: considerations for business from Financial Management
Activities to ease busy season stress from Journal of Accountancy
Asia's emerging business corridors: new highways to growth by McKinsey & Company

Disclaimer: Some sections contain external links and information from outside sources. We endeavour to link to reputable sources but the Institute is not responsible for the accuracy or content of the external site, and the content does not necessarily represent the views of the Institute. We recommend using your discretion when visiting these links.

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