IFRS Foundation Releases Educational Module on Foreign Currency Translation for SMEs

Posted 26 June 2026 Written by Acts Online
Category Financial and Accounting

Brought to you by SA Accounting Academy: The IFRS Foundation has published a new educational module to assist preparers, auditors, and stakeholders in applying Section 30 of the third edition of the IFRS for SMEs Accounting Standard.

In terms of Section 30 (Foreign Currency Translation) of the third edition of the IFRS for SMEs Accounting Standard, which was issued by the International Accounting Standards Board (IASB) in February 2025, the IASB technical staff has released a dedicated educational module to support implementation.

This educational module focuses on the practical application of Section 30, specifically addressing how entities must account for foreign currency transactions and foreign operations within their financial statements. It also provides guidance on translating financial statements into a presentation currency that differs from the entity’s functional currency.

The module is part of a broader suite of educational resources designed to facilitate the transition to the third edition of the IFRS for SMEs Accounting Standard. It is aimed at accountants, auditors, independent reviewers, and other financial professionals who prepare or evaluate financial statements for small and medium-sized entities that do not have public accountability.

To assist practitioners transitioning between reporting frameworks, the module also includes a detailed comparison between the requirements of Section 30 of the IFRS for SMEs Accounting Standard and the corresponding full IFRS Accounting Standards.

Click here to download IFRS for SMEs Accounting Standard Educational Module 30: Foreign Currency Translation.

What this means for you, your business, or your clients

  • For yourself: You must familiarise yourself with the updated translation and presentation rules under Section 30 to ensure your accounting and auditing competencies align with the third edition of the IFRS for SMEs.
  • For your business: Your practice must update its training materials, audit programmes, and compliance checklists to reflect the newly clarified guidance on foreign currency transactions and translation methodologies.
  • For your clients: Your SME clients with cross-border operations or foreign currency transactions will need to review their functional currency determinations and translation processes to ensure compliance with the updated standard.

Originally published at https://accountingacademy.co.za/news/read/ifrs-foundation-ifrs-for-smes-educational-module-30

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