SIC-19
Historical
Reporting Currency–Measurement and Presentation of Financial Statements under IAS 21 and IAS 29
Addressed how to select the reporting currency for measuring and presenting financial statements under the old IAS 21 framework. Superseded in 2003.
Historical Reference
SIC-19 was withdrawn in March 2003 when the IASB issued a revised IAS 21 The Effects of Changes in Foreign Exchange Rates, which superseded SIC-19 by replacing the reporting currency concept with the modern functional currency concept.
This page is retained for historical and comparative reference. Entities should refer to the current standard that superseded this interpretation for authoritative guidance.
Current Standard
IAS 21 The Effects of Changes in Foreign Exchange Rates 1
What SIC-19 Addressed (Historical)
What SIC-19 addressed
SIC-19 addressed how to select the reporting currency for measuring and presenting financial statements under IAS 21 (1993). It considered whether an entity should select the currency of the primary economic environment in which it operates, or its local currency, or another currency as the reporting currency.
2
The Conclusion It Reached (Historical)
The conclusion it reached
SIC-19 confirmed that the reporting currency should be selected based on the currency of the primary economic environment in which the entity operates, and that this currency should be used consistently for measuring and presenting the financial statements. The selection should reflect the currency that mainly influences sales prices and costs.
3
Where This Guidance Lives Today
Where this guidance lives today
Superseded byIAS 21 The Effects of Changes in Foreign Exchange Rates
Why withdrawnThe 2003 revision replaced the reporting currency concept with the functional currency concept
Current statusSuperseded
Glossary
Reporting currency
The currency in which financial statements are presented, replaced by the functional currency concept in the 2003 IAS 21 revision.
Functional currency
The currency of the primary economic environment in which the entity operates, now the central concept in IAS 21 for selecting the presentation currency.
Financial statement key
BS Balance sheet
IS Income statement
SE Statement of changes in equity
OCI Other comprehensive income
SCF Statement of cash flows
History & Development
Jan-2000
In January 2000 the Standing Interpretations Committee issued SIC-19 Reporting Currency–Measurement and Presentation of Financial Statements under IAS 21 and IAS 29.
Apr-2001
In April 2001 the International Accounting Standards Board adopted SIC-19.
Minor consequential amendment to SIC-19
Mar-2003
In March 2003 the Board issued a revised IAS 21 The Effects of Changes in Foreign Exchange Rates which superseded SIC-19.
Superseded by revised IAS 21