Notes to the financial statements |

For the year ended 31 December 2022

24. Adoption of PBE IPSAS 41 Financial Instruments

In accordance with the transitional provisions of PBE IPSAS 41, Te Wānanga o Aotearoa has elected not to restate the information for previous years to comply with PBE IPSAS 41. The comparative information continues to be reported under PBE IFRS 9. Adjustments arising from the adoption of PBE IPSAS 41 are recognised in opening equity at 1 January 2022.

Accounting policies have been updated to comply with PBE IPSAS 41. The main updates are:

› Note 7 Receivables: This policy has been updated to reflect that the impairment of short-term receivables is now determined by applying an expected credit loss model.

› Note 10 Other financial assets: The term deposits policy has been updated to explain that a loss allowance for expected credit losses is recognised only if the estimated loss allowance is not trivial.

On the date of initial application of PBE IPSAS 41, being 1 January 2022, the classification of financial instruments under PBE IFRS 9 and PBE IPSAS 41 is as follows:

FVTSD = Fair Value through Surplus or Deficit.

The measurement categories and carrying amounts for financial liabilities have not changed between the closing 31 December 2021 and opening 1 January 2022 dates as a result of the transition to PBE IPSAS 41.