Annual Report 2012 - Raiffeisen Bank Kosovo JSC

6. Cash and cash equivalents and mandatory reserve
2012 2011
Cash on hand 37,140 29,814
Balances with the CBK 36,409 47,086
Correspondent accounts with other banks 10,872 11,271
Money market placements 1,797 2,194
Total 86,218 90,365
Cash, cash equivalents and mandatory reserve include a mandatory liquidity reserve balance with CBK of € 50,864
thousand (31 December 2011: € 56,628 thousand). The liquidity reserve balance requirement is calculated on the basis
of a simple average over a week and should be maintained as 10 per cent of bank deposits payable within one year.
It consists of balances with CBK and 50 per cent of cash on hand. As such the balance can vary from day-to-day. This
balance is excluded from cash and cash equivalents for the purposes of the cash flow statement.
As at 31 December 2012 and 2011 the Bank’s cash and cash equivalents for the purposes of cash flow statement were
as follows:
2012 2011
Total cash and cash equivalents and mandatory reserve 86,218 90,365
Less: Mandatory liquidity reserve (50,864) (56,628)
Cash and cash equivalents for the purposes of cash flow statement 35,354 33,737
The CBK pays interest on the Bank’s average assets holdings with the CBK above 5 per cent of the applicable deposit
base up to the amount of its average minimum liquidity reserve requirement. As at 31 December 2012 the interest was
paid at the rate of 0 per cent per annum (31 December 2011: 0.10 per cent per annum).
7. Due from other banks
Term deposits and call deposits are placed with banks operating in OECD countries. Guarantee deposits represent
placements with Raiffeisen Bank International as at 31 December 2012 and 2011.
The balance due from other banks includes accrued interest income in the amount of € 1 thousand (31 December 2011:
€ 3 thousand).
Guarantee deposits include an amount of € 348 thousand as at 31 December 2012 (31 December 2011: € 354
thousand) which represent restricted deposits with a related party in relation to guarantees issued on the Bank’s behalf,
for its customers. The Bank does not have the right to use these funds for the purposes of funding its own activities.
2012 2011
Term deposits 45,755 85,556
Guarantee deposits 348 354
Total due from other banks 46,103 85,910
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Addresses Glossary Financial Statements Segment Reports Overview Macroeconomic Environment RBI Vision and Mission Management Board Introduction