Page 245 - Full Book_24.4.2021

NOTES TO THE
FINANCIAL STATEMENTS in retrospect

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for the financial year ended 31 december 2020 (continUed)
the Will to Suceed

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20 RECOURSE OBLIGATIONS ON FINANCING SOLD TO CAGAMAS
recourse obligations on financing sold to cagamas represents house financing accounts that were sold to cagamas with
recourse. Under the agreement, bank islam (“the bank”) undertakes to administer the financing on behalf of cagamas and achieving a leading repute
to buy back any financing which are regarded as defective based on pre-determined and agreed-upon prudential criteria with
recourse against the bank. Such financing transactions and the obligation to buy back the financing are reflected as a liability
on the statements of financial position. the financing are not de-recognised and are analysed in note 8. |

21 OTHER LIABILITIES
Group Company
Note 2020 2019 2020 2019 Paving the Way for a Sustainable future
RM’000 RM’000 RM’000 RM’000

takaful payables 49.5(b) 232,529 175,351 – –
– Due to retakaful companies 197,729 141,931 – –
– Due to Intermediaries/Participants 34,800 33,420 – –
other payables 739,047 607,299 2,295 2,271
advance payments 680,508 437,053 – – 239
accruals 98,784 164,717 – –
amount due to subsidiaries* – – – 11
clients’ and dealers’ credit balances 25,376 23,036 – –
adhering to the best Governance Practices
dividend payable 225,876 282,285 225,876 282,285
2,002,120 1,689,741 228,171 284,567

* the amount due to subsidiaries is non-trade, unsecured, not subject to financing charge and are repayable on demand.
also included in other payables is an amount under Government financing scheme for the purpose of Sme financing at a
concessionary rate, repayable in february 2029. |
22 TAkAFUL CONTRACT LIABILITIES

Group
Note 2020 2019 Laying the Foundation for Financial Growth
RM’000 RM’000
Provision for outstanding claims 22(a) 919,091 703,598
Provision for unearned contributions 22(b) 465,734 394,340
Participants’ fund 22(c) 7,771,783 7,099,218
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additional information & disclosure Summary
takaful contract liabilities 9,156,608 8,197,156

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24 th aGm information