Initial recognition

Transactions made in foreign currency are recognised in Euro, applying the exchange rate applicable at the time of recognition.

Subsequent recognition

At the closure of every period, monetary items in foreign currency are translated into Euro using the exchange rate at the reporting date.

Non-monetary assets and liabilities recognised at historical cost are translated at the historical exchange rate, while those measured at fair value are translated using the end of period exchange rate. Any exchange differences occurring as a result of settling monetary elements or translating these elements at exchange rates different from those of initial recognition or previous financial statements, are shown in the income statement of the period in which such differences arose, with the exception of those relating to available for sale financial assets for which a balancing entry is recognised in equity.