Annual Report 2016

86 NOTES TO THE ANNUAL FINANCIAL STATEMENTS
87
- for the year ended 31 March 2016 -
19 Risk management (continued)
The following table indicates the effective interest rate at the reporting date and the periods in which the assets and liabilities
reprice.
Fixed interest rate
Between
Floating Less than three months More than Non-interest
2016 Total interest rate three months and one year one year items
Financial assets R R R R R R
Cash and cash equivalents 250 873 801 238 131 251 - - - 12 742 550
Short term money market assets 31 465 826 31 465 826 - - - -
Loans and advances 694 956 506 694 285 306 - 671 200 - -
Receivables 18 113 868 - - - - 18 113 868
995 410 001 963 882 383 - 671 200 - 30 856 418
Liabilities
Current account overdrafts (236 206) (236 206) - - - -
Amounts owed to depositors (621 781 540) (564 906 808) (23 142 481) (27 958 975) (5 773 276) -
Other liabilities (5 391 538) - - - - (5 391 538)
Borrowings (243 619 454) (243 619 454) - - - -
Unrecognised
(41 107 918) (41 107 918) - - - -
loan commitments
(911 899 074) (849 870 386) (23 142 481) (27 958 975) (5 773 276) (5 153 956)
Net exposure 83 510 927 114 011 997 (23 142 481) (27 287 775) (5 773 276) 25 702 462
Fixed interest rate
Between
Floating Less than three months More than Non-interest
2015 Total interest rate three months and one year one year items
Assets R R R R R R
Cash and cash equivalents 144 605 164 135 926 174 - - - 8 678 990
Short term money market assets 24 061 803 24 061 803 - - - -
Loans and advances 221 032 365 220 841 715 - 190 650 - -
Receivables 4 875 499 - - - - 4 875 499
394 574 831 380 829 692 - 190 650 - 13 554 489
Liabilities and equity
Current account overdrafts (329 771) (329 771) - - - -
Amounts owed to depositors (355 166 683) (278 371 906) (9 945 604) (59 328 688) (4 654 844) -
Other liabilities (2 050 743) - - - - (2 050 743)
Unrecognised
(37 224 232) (37 224 232) - - - -
loan commitments
(357 547 197) (278 701 677) (9 945 604) (59 328 688) (4 654 844) (2 050 743)
Net exposure 37 027 634 102 128 015 (9 945 604) (59 138 038) (4 654 844) 11 503 746
(d)Operational risk
Operational risk is defined as the risk of loss resulting from inadequate or failed internal processes, people and systems or from external events.
The bank operates within a risk management framework approved by the board of directors . This framework demarcates risk limits,
delegations and levels of authority, which are incorporated in comprehensive operational procedures.
The internal audit function has been outsourced to PwC Inc. They perform an independent, objective assurance designed to add value and
improve the bank's operations. Internal audit assists the bank in accomplishing its objectives by employing a systematic, disciplined approach
to evaluating and improving the effectiveness of the risk management, control and governance processes.
20 Statement of financial position - categories of financial instruments
Notes Total Held to maturity Loans and
receivables
Financial liabilities
at amortised cost
2016 R R R
Assets
Cash and cash equivalents 2 250 873 801 - 250 873 801 -
Short term money market assets 3 31 465 826 31 465 826 - -
Loans and advances 4 694 956 506 - 694 956 506 -
Receivables 18 113 868 - 18 113 868 -
Total 995 410 001 31 465 826 963 944 175 -
Liabilities
Current account overdrafts (236 206) - - (236 206)
Amounts owed to depositors 9 (621 781 540) - - (621 781 540)
Other liabilities 10 (5 391 538) - - (5 391 538)
Borrowings 15 (243 619 454) - - (243 619 454)
Total (871 028 738) - - (871 028 738)
Notes Total Held to maturity Loans and
receivables
Financial liabilities at
amortised cost
2015 R R R
Assets
Cash and cash equivalents 2 144 605 164 - 144 605 164 -
Short term money market assets 3 24 061 803 24 061 803 - -
Loans and advances 4 221 032 365 - 221 032 365 -
Receivables 4 875 499 - 4 875 499 -
Total 394 574 831 24 061 803 370 513 028 -
Liabilities
Current account overdrafts (329 771) - - (329 771)
Amounts owed to depositors 9 (355 166 683) - - (355 166 683)
Other liabilities 10 (2 050 743) - - (2 050 743)
Total (357 547 197) - - (357 547 197)
VBS Mutual Bank | Annual Report | 2016
People With A Purpose