(2)On 3 July 2008, the International Financial Reporting Interpretations Committee (IFRIC) published IFRIC Interpretation 16 Hedges of a Net Investment in a Foreign Operation , hereinafter ‘IFRIC 16’. IFRIC 16 is an interpretation that provides clarification on how to apply the requirements of International Accounting Standard (IAS) 21 and IAS 39 in cases when an entity hedges the foreign currency risk arising from its net investments in foreign operations.