February 23, 2017
De Nederlandsche Bank (DNB) published a newsletter today on IFRS9 accounting standard that will take effect from the 1st of January 2018. In the letter DNB stress that banks should already be estimating the impact and preparing models.
Large banks that have Basel II credit models can use these models as a basis for developing the IFRS9 models. The scale and complexity of these projects at large banks should not be underestimated.
Small banks will not have any Basel II credit models which they can use to prepare IFRS9 models. The challenge for these banks is to model and fully process the impact of the provisions calculated.
The original announcement can be found on the DNB website here.