IPSASB: Amendments due to application of IPSAS 46: Measurement

IPSASB: Amendments due to application of IPSAS 46: Measurement

• 25 September 2025
• Accounting
• South African Accounting Academy

Summary:

The International Public Sector Accounting Standards Board (IPSASB®) has issued Amendments to IPSAS Standards as a Result of the Application of IPSAS 46, Measurement with an effective date of 1 January 2028.

Article:

The amendments include the introduction of current operational value in IPSAS 12, Inventories, and IPSAS 21, Impairment Non-Cash Generating Assets, the addition of a definition of accounting estimates to IPSAS 3, Accounting Policies, Changes in Accounting Estimates and Errors, and the enhancement of the terminology in current value measurement disclosures.

A table has been provided which sets out the amendments to IPSAS Standards, including a summary of changes.

IPSAS 46, Measurement introduced a new measurement basis for the public sector called current operational value, a public sector-specific measurement approach designed to reflect the value of assets used to deliver services, rather than to generate cash. Following its release, along with an update to Chapter 7 of the Conceptual Framework, the IPSASB began reviewing how current operational value could apply across existing IPSAS Standards. 

The IPSASB issued a draft of its proposals in August 2024 and incorporated the stakeholder feedback it received to shape the final standard out. 

These changes aim to improve how governments and public sector entities report the value of assets they use to deliver services. The pronouncement offers an integrated approach to valuation, guiding entities in measuring the current value of inventories and determining impairment in the public sector.

Access the At a Glance summary (5 pages) at https://ifacweb.blob.core.windows.net/publicfiles/2025-08/IPSASB-AAG-Measurement-Application_0.pdf 

Click here to download the 82-page document:

https://ifacweb.blob.core.windows.net/publicfiles/2025-08/IPSASB-Amendments-IPSAS-Application-IPSAS-46_0.pdf 

Relevance to Auditors, Independent Reviewers & Accountants:

• As an auditor and independent reviewer, you need to evaluate your public sector clients’ compliance with International Public Sector Accounting Standards (IPSAS), and thus you need knowledge of newly revised standards that are approved as well as when they become effective.
• Auditors, Independent Reviewers and Accountants should be aware of the latest amendments to pronouncements and standards issued by regulators and standard-setting boards, such as the IPSASB.
• It is important to stay informed on publications issued by the regulators and standard-setters, e.g. IFAC & IPSASB.

Relevance to Your clients:

• Public Sector entities must prepare their financial information in accordance with IPSAS.
• It is important to stay informed on publications issued by the regulators and standard-setters, e.g. IFAC & IPSASB.

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