IASB starts discussions on Statement of Cash Flows project

Various issues relating to application of IAS 7 – Statement of Cash Flows were raised in the consultation, primarily relating to the presentation of the statement. 

The Board met in September 2024 and discussed a preliminary list of topics proposed by the staff, including: 

• the classification of cash flows – particularly following the recent publication of IFRS 18, since the categories of income and expenses in IFRS 18 are not currently aligned with the categories of cash flows under IAS 7 (in terms of either definitions or classification); 
• disaggregation of information about cash flows – also discussed in the context of the new requirements for aggregating and disaggregating information under IFRS 18; 
• the definition of cash and cash equivalents; 
• the effects of non-cash transactions, particularly in the context of reconciliation to the statement of financial position; 
• information on cash flows from operating activities; 
• information about commonly used cash flow measures; 
• the statement of cash flows for financial institutions.