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Version date: 26 February 2020 - onwards

Dissenting opinion (paras. DO1-DO6)

Dissent of Mr Takatsugu Ochi from Disclosure Initiative (Amendments to IAS 7)

DO1 Mr Ochi voted against the publication of Disclosure Initiative (Amendments to IAS 7) (the 2016 Amendments). The reasons for his dissent are set out below.

DO2 Mr Ochi believes that financial statements that reflect the 2016 Amendments may provide incomplete information about an entity's management of liquidity. The objective of the 2016 Amendments is to require disclosures that enable users to evaluate changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes. However, Mr Ochi thinks that users of financial statements are seeking clearer information about entities' management of liquidity risk. Consequently, he thinks that the information provided by the 2016 Amendments will not meet users' needs. Mr Ochi thinks that the Board has issued these amendments without setting a clear vision of overall improvements to the disclosure about an entity's liquidity risk management. He thinks that this could confuse and mislead users of financial statements.