Volume1 – CECL: Exploring The Impacts and the Overlap Between CECL and IFRS9

Volume1 – CECL: Exploring The Impacts and the Overlap Between CECL and IFRS9Volume1 – CECL: Exploring The Impacts and the Overlap Between CECL and IFRS9

The upcoming CECL (Current Expected Credit Loss) regulation takes effect in the US in 2020. This regulation effectively overhauls the way potential credit losses are calculated and accounted for. Almost 70% of banks believe provision expenses will be more volatile from period to period under these new requirements, while most banks (62%) believe that the application of the impairment model will result in better credit risk management. What can the US Market learn from the IFRS9 adoption?