Disclosures to Promote Transparency and Market - IFSB

given in Section 7, together with a general statement as to how their disclosures shall be
treated within the scope of these principles.
27. Given the differences in the practices of IIFS across jurisdictions (such as the
availability of investment account products, prevalence of Islamic windows, etc), some of
the contents presented below may not necessarily apply to all institutions. The
recommended tables shall be followed as and when applicable, with appropriate
adaptations by the supervisory authorities. Also, in view of the differences among
countries and IIFS on the availability of historical data on key items in balance sheets and
income statements, some of the requested disclosures of past data would have to be
phased in during a transitional period until a track record of key data is built up.
28. In line with the above, the disclosure requirements in the following tables are
intended to be applied on a “comply or explain” basis. In other words, instances of nonobservance
of any of the components of these disclosure requirements (for example,
where observance is not feasible because the component is not applicable to the IIFS or
because the necessary data are not available) shall be clearly and adequately explained.
2. Scope of Inclusion: Corporate Information
29. A summary of corporate information on the institutions included in the disclosure,
and the differences, if any, in the bases of consolidation for financial reporting and for
regulatory purposes, shall be disclosed. The recommended disclosures are set out in
Table 1.
Table 1: Scope of Inclusion: Corporate Information
Qualitative
Disclosures
1. The name of the ultimate holding corporate entity (or parent
entity) in the group to which this disclosure framework is applied,
with an indication of whether it is an IIFS or a conventional
financial institution with an Islamic window operation to which the
framework is applicable.
2. An outline of differences in the bases of consolidation for financial
reporting and for regulatory purposes, with a brief description of
the entities within the group (a) that are fully consolidated; (b) that
are pro-rata consolidated; (c) that are given a deduction
treatment; and (d) from which surplus capital is recognised; plus
(e) that are neither consolidated nor deducted (for example,
where the investment is risk weighted). This specifically applies to
fully-fledged IIFS bank subsidiaries. In the case of Islamic window
operations, a separate set of financial statements is to be
disclosed in the notes.
3. Any restrictions, or other impediments, on the transfer of funds or
regulatory capital within the group.
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