The Reform Of Financial Asset Impairment In CAS22 Has Studied The Expected Impact Of Commercial Bank

Incurred Loss Model cannot adapt to the complex and diversified financial instruments owing to its existing defects,and it lead to the revision of accounting standards for financial instruments after the 2008 financial crisis In April 2017,China issued the revised"accounting standards for enterprises no.22-recognition and measurement of financial instruments(hereinafter referred to as CAS22),in which a great change of the financial asset impairment model,from the Incurred Loss Model "changed to" Expected Loss Model,the effect of expected loss should be taken into account in carrying out the impairment provision.However,the new model has not been practiced at home and abroad,and the implementation of the expected loss model in China will be a great challenge with no reference experience and no reference case.As the main asset of the bank,the reform of financial asset impairment model is undoubtedly the biggest impact on the banking industry.In order to reduce the expected influence of banking industry by applying the Expected Loss Model and ensure the stability of the banking business,conducting the research of the expected impact of the banking sector is imminent.This paper is based on the revised CAS22 and CAS22 of 2006,and also draws on the international financial reporting standards no.9-financial instruments(hereinafter referred to as IFRS9).Firstly,evaluating the expected loss model and exploring its connotation and comparing the Incurred Loss Model with Expected Loss Model.Secondly,situation of the impairment of commercial Banks will be discussed from impairment recognition,measurement and reporting analysis through the annual financial report disclosed by the bank,on this basis,the problems of loss model application is expected to discuss.Finally,in order to ensure smooth implementation of the expected loss model,feasible suggestions will be put forward from accounting standards changes,the Banks themselves,marketization,and accounting supervision and other regulatory coordination,to achieve a smooth transition from the old model to the new model.This thesis is aimed to study the effects of the expected loss model on the bank industry,and to discuss the possibility through changing the defects of the incurred loss model toachieve the original intention of the reform,and deal with the existed challenges as well to ensure the stability of the financial market.