KNF issues Recommendation R, which will enter into force in 2022
19:16
The Polish Financial Supervision Authority (KNF) issued Recommendation R on credit risk management in banks. This recommendation will come into force on January 1, 2022, the KNF announced in a statement.
The Commission stated that the revised Recommendation R is a set of good practices regarding the classification of credit exposures, estimation, and recognition of expected credit losses, in accordance with the accounting and credit risk management policies adopted and applicable at banks.
"The need to develop Recommendation R in the new wording resulted from the entry into force in 2018 of the International Financial Reporting Standard No. 9 (IFRS 9) – Financial Instruments, which introduced changes in the area of bank management which is related to the provisions of this Recommendation. The content of the Recommendation takes into account the experiences of the supervisory authority and market entities, gained during that time, related to the application of IFRS 9,” the KNF stated.
(PAP)
