Page 184 - Exim iar24_Ebook

EXIM BANK MALAYSIA
182

NOTES TO THE FINANCIAL STATEMENTS

42. FINANCIAL RISK MANAGEMENT POLICIES (cont’d)
Market risk management (cont’d)
Generally, the Group is exposed to three types of foreign exchange risk such as translation risk, transactional risk and
economic risk which are managed in accordance with the market risk policy and limits. The Group controls its FX exposures
by transacting in permissible currencies. It has an internal FX NOP to measure, control and monitor its FX risk and implements
FX hedging strategies to minimise FX exposures. Stress testing is conducted periodically to ensure sufficient capital buffer
on FX risk. (cont’d)
United Great
states Singapore Britain Australian
dollar Euro dollar Pound dollar Others
RM’000 RM’000 RM’000 RM’000 RM’000 RM’000
Group and Bank
2023

Assets
Cash and bank balances 6,510 1,869 130 430 1,716 111
Deposits and placements
with banks and other
financial institutions 634,245 26,434 - 9,014 34,377 -
Investment securities 81,257 - - - - -
Loans, advances
and financing 2,368,520 142,551 1,121 205,975 49,666 (26)
Derivative financial
instruments 63 - - - - -
Other assets 41,611 13 - 4 108 -
3,132,206 170,867 1,251 215,423 85,867 85

Liabilities
Borrowings 3,404,587 139,612 - 203,080 59,804 -
Other payables & accruals 88,331 94 1,046 3,349 7,384 46
Derivative financial
instruments 143,274 - - - - -
Provision for commitment
& contingencies 26,679 - - - - -
3,662,871 139,706 1,046 206,429 67,188 46

On-balance sheet
open position (530,665) 31,161 205 8,994 18,679 39

Add/(less): Net forward
position 102,467 (30,461) - - - -
Net open position
(liabilities)/assets (428,198) 700 205 8,994 18,679 39