Table of contents

The table below lists other financial assets (excluding cash and cash equivalents and loan book) in relation to their past due status.
June 2016
Neither past
due nor
impaired
Past due but
not impaired
0 - 90 days
Past due but
not impaired
91 - 360 days
Past due but
not impaired
greater than
360 days
Impaired
Total financial
assets
€ € € € € €
Loans to related parties 4 302 392 - - - - 4 302 392
Other financial assets 446 592 - - - - 446 592
Loans to shareholders 1 824 507 - - - - 1 824 507
Other receivables 9 266 836 1 340 951 108 733 189 895 - 10 906 415
June 2015
Neither past
due nor
impaired
15 840 327 1 340 951 108 733 189 895 - 17 479 906
Past due but
not impaired
0 - 90 days
Past due but
not impaired
91 - 360 days
Past due but
not impaired
greater than
360 days
Impaired
Total financial
assets
€ € € € € €
Loans to
related parties
1 238 520 - - - - 1 238 520
Other financial assets 2 829 953 - - - - 2 829 953
Loans to shareholders 258 783 - - - - 258 783
Other receivables 8 385 581 2 099 140 208 319 2 765 37 615 10 733 420
12 712 837 2 099 140 208 319 2 765 37 615 15 060 676
3.1.2 Market risk
Market risk is the risk that changes in the market prices, such as interest rates and foreign exchange rates will affect the fair value and future cash flows of a financial instrument. Market risk
arises from open positions in interest rates and foreign currencies, both which are exposed to general and specific market movements and changes in the level of volatility. The objective of
market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return on risk.
Overall responsibility for managing market risk rests with the directors. Management is responsible for the development of detailed risk management policies (subject to review by the
directors) and for the day to day implementation of those policies. The group policy is to only hedge open positions on hard currencies. Due to the volatility in some of the African countries’
currencies, hedging is either not available of prohibitively expensive. In such countries, the focus is to obtain local funding in local currency.
3.1.2.1 Interest rate risk
Cash flow interest rate risk is the risk that the future cash
flows of a financial instrument will fluctuate because of
changes in market interest rates. Fair value interest rate
risk is the risk that the value of a financial instrument will
fluctuate because of changes in market interest rates.
The Group’s main interest rate risk arises from long-term
borrowings which are issued at fixed and variable rates.
These expose the Group to cash flow interest rate risk which
is partially offset by having a short-term loan portfolio as the
main asset in the group. Increasing refinancing cost can be
potentially covered by price changes in new lending (to the
extent the relevant lending rates are governed by a formula
linked to prime) whereby the spread between lending
interest and borrowing interest is comparably high.
The table below indicates all interest-bearing financial
borrowings and all interest-bearing financial assets
(excluding cash and cash equivalents, other receivables and
trade and other payables) at fixed rates and variable rates.
Fair value interest
rate risk:
2016 2015
Fixed interestbearing
assets
€ €
US Dollar 13 379 316 8 054 968
Botswana Pula 6 227 668 5 564 925
South African Rand 8 703 921 11 746 594
Malawi Kwacha 4 006 876 5 032 866
Kenya Shillings 4 380 370 4 360 794
Euro 1 205 621 1 141 016
Zambia Kwacha 6 802 796 -
Other 1 232 832 2 329 012
Total 45 939 400 38 230 175
Fixed interestbearing
2016 2015
borrowings
€ €
US Dollar (34 949 560) (30 814 975)
Botswana Pula (196 731) (184 720)
South African Rand (7 141 108) (6 699 535)
Euro (5 560 950) (5 374 986)
Other - (940 751)
Total (47 848 349) (44 014 967)
Cash flow interest 2016 2015
rate risk:
Variable interestbearing
assets
€ €
Botswana Pula 496 493 514 591
South African Rand 1 274 722 1 378 258
Total 1 771 215 1 892 849
Variable interestbearing
2016 2015
borrowings € €
Botswana Pula (287 245) (646 674)
South African Rand (90 759) (50 969)
Malawi Kwacha (2 186 638) (2 988 700)
Kenya Shillings (836 039) (810 037)
Zambia Kwacha (2 188 852) -
Total (5 589 533) (4 496 380)
Non-interest-bearing 2016 2015
assets
€ €
US Dollar 63 824 15 254
South African Rand - 376 943
Other - 11 162
Total 63 824 403 359
Non-interest-bearing 2016 2015
liabilities
€ €
South African Rand - (146 932)
Total - (146 932)
Cash flow interest rate sensitivity impact on profit
or loss on financial assets and financial liabilities
(excluding cash and cash equivalents, other receivables
and trade and other payables)
Assets
Interest 2016 2015
rate
movement
% € €
Botswana Pula 1 4 965 5 146
South African
Rand
1 12 747 13 783
17 712 18 929
Liabilities Interest 2016 2015
rate
movement
% € €
Botswana Pula 1 (2 872) (6 467)
South African
1 (908) (305)
Rand
Malawi Kwacha 5 (109 332) (149 435)
Kenya Shillings 1 (8 360) (8 100)
Zambia
1 (21 889) -
Kwacha
(143 361) (164 307)
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MyBucks Annual Report 2016 104
105 MyBucks Annual Report 2016