meta_id 3130036

On February 27, 2026, the Central Bank of the Russian Federation (Bank of Russia) issued an information letter providing recommendations to credit institutions and head credit institutions of banking groups regarding auditor confirmation procedures for applying phased deductions of intangible assets (IA) in calculating own funds (capital). The recommendations implement a Board of Directors decision from February 27, 2026 concerning phased deduction of intangible assets for capital adequacy calculations. Credit institutions must obtain auditor confirmation from registered audit organisations verifying that intangible assets meet specified conditions and that phased deduction calculations are correct as of the audit date. The audit confirmation must be prepared in accordance with International Standard on Assurance Engagements 3000 (revised) and cover all intangible assets to which phased deduction applies. Key audit areas include: verification of software's status as critical information infrastructure assets; confirmation of procurement compliance with internal regulatory documents or Federal Law No. 223-FZ for state-owned institutions; validation of software development cost capitalisation; confirmation of asset deployment into operational use; and verification of phased deduction calculations. Audit organisations must have completed at least 20 annual audits of credit institutions' financial statements within the preceding five years and be registered with Bank of Russia as auditors serving publicly significant financial market organisations under Part 3 of Article 5.1 of Federal Law No. 307-FZ "On Audit Activity" (December 30, 2008). The information letter will be published in the Bank of Russia Bulletin and on its official website. Credit institutions should apply these recommendations when engaging audit organisations to prepare required confirmations for capital calculation purposes.