Annual Report - Raiffeisen Bank Kosovo JSC

Financial Statements Raiffeisen Bank Kosovo 2009
• Equity risk or the risk that stock prices will change.
• Interest rate risk or the risk that interest rates will change.
• Currency risk or the risk that foreign exchange rates will change.
• Commodity risk or the risk that commodity prices (i.e. grains, metals, etc.) will change.
The Bank takes on exposure to market risks. Market risks arise from open positions in interest rate and
currency products, all of which are exposed to general and specific market movements.
Management sets limits on the value of risk that may be accepted, which is monitored on a daily
basis. However, the use of this approach does not prevent losses outside of these limits in the event
of more significant market movements.
Geographical risk
The geographical concentration of the Bank’s financial assets and liabilities as at 31 December 2009
and 2008 is set out below:
Kosovo EU Other Total
Assets
Cash and cash equivalents and mandatory
liquidity reserve 78,939 23,468 4,552 106,959
Due from other banks - 170,194 - 170,194
Loans and advances to customers 357,355 - - 357,355
Investment securities - 25,191 8,527 33,718
Investments in subsidiaries 268 - - 268
Other assets 4,403 - - 4,403
Total financial assets 440,965 218,853 13,079 672,897
Liabilities
Deposits from customers 533,143 12,160 2,512 547,815
Deposits from banks 147 28,832 10,570 39,549
Other liabilities 11,396 1,191 - 12,587
Total financial liabilities 544,686 42,183 13,082 599,951
Net gap position at
31 December 2009 (103,721) 176,670 (3) 72,946
66 www.raiffeisen-kosovo.com Introduction Management Board Organisational Structure Vision and Mission RZB and RI