Page 289 - 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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49 FINANCIAL RISk MANAGEMENT POLICIES (CONTINUED)
49.3 Credit risk (continued)
Maximum exposure to credit risk (continued) achieving a leading repute
Banking (continued)
(c) Financial guarantee contracts (“FGC”) |

fGcs comprise mainly of guarantees to customers, and to controlled entities of the bank under the deed of cross
guarantee, standby or documentary letters of credit and performance related contingencies. the bank will typically
have recourse to specific assets pledged as collateral in the event of a default by a party for which the bank has
guaranteed its obligations to a third party. Paving the Way for a Sustainable future

(d) Financing commitments
financing commitments mainly comprise of irrevocable financing commitments to finance a customer provided
there is no breach of any condition established in the contract. if such financing commitments are drawn down by
the customer there will typically be specific collateral requirements that will need to be satisfied by the customer
in order to access to credit facilities.
283
(i) Concentration of credit risk for Bank

Cash and
short-term
funds and
deposits and On-
placements Financial Derivative Financial Financing, balance Financial
with financial assets at financial assets at advances sheet guarantee Financing adhering to the best Governance Practices
Bank Islam institutions FVTpL assets FVOCI and others total contracts commitments*
As at 31 December 2020 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000
Primary agriculture – – – 77,621 1,025,569 1,103,190 2,082 186,286
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mining and quarrying – – – – 64,894 64,894 16,014 80,830
manufacturing
(including agro-based) – – 9 53,677 962,181 1,015,867 143,149 579,419
electricity, gas and water – 16,074 – 1,277,590 1,966,976 3,260,640 64,469 148,676
Wholesale & retail trade, Laying the Foundation for Financial Growth
and hotels & restaurants – – 37,921 – 897,828 935,749 128,968 401,704
construction – – 393 906,545 2,632,171 3,539,109 515,506 1,679,249
transport, storage and
communications – – – 1,384,140 642,844 2,026,984 91,714 106,633
finance, insurance, |
real estate and
business activities 4,547,347 926,636 8,938 5,758,025 4,451,540 15,692,486 134,802 1,772,325
education,
health and others – – 746 870,928 1,152,752 2,024,426 515,978 1,837,248
household sectors – – – – 40,873,880 40,873,880 – 946,401 additional information & disclosure Summary
other sectors – – 13,658 2,165,514 – 2,179,172 329,109 1,876,456

4,547,347 942,710 61,665 12,494,040 54,670,635 72,716,397 1,941,791 9,615,227

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24 th aGm information
* financing commitments excluding derivative financial assets