The ABJ, in cooperation with KPMG, organized a workshop on International Financial Reporting Standard 16, concerned with leases, on Thursday, 20 Dec. 2018 at the ABJ headquarters.

The workshop was inaugurated by ABJ General Director Dr. Adli Kandah,  who welcomed the KPMG Jordan Managing Partner Hatem Kawasmy and attendees of member banks, the CBJ and financial and government institutions.

The workshop, he said, is crucial as it clarifies the significance of this standard for all business sectors, as it affects the financial position statement (general budget) of the institution.

Kawasmy said the International Accounting Standards Board promulgated in 2016 the International Financial Reporting Standard 16 that will be effective as of 1 Jan. 2019. This IFRS is extremely important as it will affect the financial statements of all leasing companies. There will be capitalization of all lease contract in the lessee’s registers, therefore it would substantially affect the financial position statement, income statement and the cash flows of many companies. Banks will be affected by the implementation of IFRS 16 because of the lease contracts they have for their major work and activities.