The Malaysian Accounting Standards Board (“MASB”) has issued a new MFRS Accounting Standard – MFRS 20 ‘Regulatory Assets and Regulatory Liabilities’ in August 2026 which will affect the financial statements of entities that are subject to rate regulation. 

The new standard is effective for annual reporting periods beginning on or after 1 January 2029, with earlier application permitted. It supersedes MFRS 14 ‘Regulatory Deferral Accounts'. Read our Snapshot for a summary of the key principles and requirements of MFRS 20.

On 7 August 2026, the Malaysian Accounting Standards Board has issued targeted amendments to MFRS 128 on the use of the fair value option as an exemption from applying the equity method to investments in associates and joint ventures for eligible entities. The amendments clarify the scope of this exemption to include entities that have a main business activity of investing in particular types of asset based on MFRS 18. 

The amendments are effective when an entity first applies MFRS 18, which will be for annual reporting periods beginning on or after 1 January 2027, or earlier if MFRS 18 is early adopted. Read our Snapshot to find out more.

The IFRS Interpretation Committee works with the International Accounting Standards Board to support the consistent application of IFRS^® Accounting Standards. This PwC In depth publication provides an overview of the status of all IFRS 18-related IFRS Interpretations Committee agenda decisions. 

MFRS 18 ‘Presentation and Disclosure in Financial Statements’, which replaces MFRS 101 ‘Presentation of Financial Statements’, is effective for annual reporting periods beginning on or after 1 January 2027.  As MFRS 18 are word-for-word identical to IFRS 18, Malaysian preparers should also consider these agenda decisions in applying MFRS 18. 

Entities are encouraged to monitor the relevant agenda decisions closely, as important application questions continue to be addressed in the run up to the adoption of MFRS 18. This publication will be updated regularly to reflect new agenda decisions and ongoing developments.