Milli Re 2025 Annual Report

b. Standards, amendments, and interpretations that are issued but not effective as of December 31, 2025 – IFRS 17, ‘Insurance Contracts’; effective as of January 1, 2023 or thereafter. This standard replaces IFRS 4, which currently allows a wide range of applications. IFRS 17 will fundamentally change the accounting for all information governing insurance contracts and investment contracts with flexible tied participation features. According to the Communiqué on the Presentation of Financial Statements of Insurance, Reinsurance, and Pension Companies, as amended by the SEDDK and published in the Official Gazette on December 15, 2025, the effective date for the implementation of TFRS 17 has been postponed to January 1, 2027. Consequently, in a letter dated January 7, 2026, with number E-64088382-045.01-39032 sent by the Public Oversight, Accounting and Auditing Standards Authority (KGK) to the Turkish Insurance, Reinsurance, and Pension Companies Association, it was stated that the implementation date of TFRS 17 for banks and holding companies with insurance, reinsurance, or pension company subsidiaries/associates in their individual and consolidated financial statements has been postponed to January 1, 2027. – Amendment to IFRS 9 and IFRS 7 - Classification and Measurement of Financial Instruments ; effective from annual reporting periods beginning on or after 1 January 2026 (early adoption is available). These amendments: – clarify the requirements for the timing of recognition and derecognition of some financial assets and liabilities, with a new exception for some financial liabilities settled through an electronic cash transfer system; – clarify and add further guidance for assessing whether a financial asset meets the solely payments of principal and interest (SPPI) criterion; – add new disclosures for certain instruments with contractual terms that can change cash flows (such as some instruments with features linked to the achievement of environment, social and governance (ESG) targets); and – make updates to the disclosures for equity instruments designated at Fair Value through Other Comprehensive Income (FVOCI). – Annual improvements to IFRS - Volume 11; effective from annual periods beginning on or after 1 January 2026 (earlier application permitted). Annual improvements are limited to changes that either clarify the wording in an Accounting Standard or correct relatively minor unintended consequences, oversights or conflicts between the requirements in the Accounting Standards. The 2024 amendments are to the following standards: – IFRS 1 First-time Adoption of International Financial Reporting Standards; – IFRS 7 Financial Instruments: Disclosures and its accompanying Guidance on implementing IFRS 7; – IFRS 9 Financial Instruments; – IFRS 10 Consolidated Financial Statements; and – IAS 7 Statement of Cash Flows. – Amendment to IFRS 9 and IFRS 7 - Contracts Referencing Nature-dependent Electricity; effective from annual periods beginning on or after 1 January 2026 but can be early adopted subject to local endorsement where required. These amendments change the ‘own use’ and hedge accounting requirements of IFRS 9 and include targeted disclosure requirements to IFRS 7. These amendments apply only to contracts that expose an entity to variability in the underlying amount of electricity because the source of its generation depends on uncontrollable natural conditions (such as the weather). These are described as ‘contracts referencing nature-dependent electricity’. – Amendments to IAS 21 - Translation to a Hyperinflationary Presentation Currency; effective from annual periods beginning on or after 1 January 2027. These narrow-scope amendments specify the translation procedures for an entity whose presentation currency is that of a hyperinflationary economy. The entity applies the amendments if: – its functional currency is that of a non-hyperinflationary economy and it is translating its results and financial position into the currency of a hyperinflationary economy; or – it is translating into the currency of a hyperinflationary economy the results and financial position of a foreign operation whose functional currency is that of a non-hyperinflationary economy. 260 MİLLÎ REASÜRANS 2025 Annual Report Notes to the Consolidated Financial Statements As of December 31, 2025 Millî Reasürans Türk Anonim Şirketi (Currency: Turkish Lira (TRY)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish)