IAS-29 – Financial Reporting in Hyperinflationary Economies

Hyperinflation is indicated if cumulative inflation over three years is 100 per cent or more (among other factors). In such a circumstance, financial statements should be presented in a measuring unit that is current at the balance sheet date. Comparative amounts for prior periods are also restated into the measuring unit at the current balance sheet date. Any gain or loss on the net monetary position arising from the restatement of amounts into the measuring unit current at the balance sheet date should be included in net income and separately disclosed.