Page 102 - Annual Report 2022

Banka Kombëtare Tregtare Annual Report 2022 40

Banka Kombëtare Tregtare Sh.a.
Notes to the Consolidated Financial Statements for the year ended
31 December 2022 (Amounts in USD, unless otherwise stated)

5. Financial risk management (continued)

(b) Credit Risk (continued)
ii Expected credit loss measurement (continued)
The following table sets out the changes in in gross carrying amount of financial assets where impairment requirements apply
(other than loans to customers).
RECONCILIATION OF THE ACCUMULATED IMPAIRMENT ALLOWANCE OF FINANCIAL ASSETS WHERE IMPAIRMENT REQUIREMENTS
APPLY (OTHER THAN LOANS TO CUSTOMERS)
Due from Banks Investment Securities at FVOCI
31 December 2022
Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total
Balance at 1 January 1,415,309 3,211 - 1,418,520 5,404,593 65,761 - 5,470,354
2022
Transfer to Stage 1 - - - - (12,695) 6,331 6,364 -
(from 2 or 3)
Transfer to Stage 2 - - - - (14,521) 14,521 - -
(from 1 or 3)
Transfer to Stage 3 - - - - (96,534) (65,761) 8,790,383 8,628,088
(from 1 or 2)
New financial assets 973,140 - - 973,140 509,547 417,202 1,506,705 2,433,454
originated or purchased
Derecognition of financial (481,452) - - (481,452) (1,072,214) - - (1,072,214)
assets
Reclassification of - - - - (2,155,991) - - (2,155,991)
instruments measured at
FVOCI to amortised cost
Write-offs - - - - - - - -
Changes in models/risk (511,919) (3,023) - (514,942) 24,487 5,437,165 15,496,456 20,958,108
parameters
Foreign exchange and 47,240 -188 - 47,052 -24,938 -72,239 -1,140,822 (1,237,999)
other movements
Allowance at 31 1,442,318 - - 1,442,318 2,561,734 5,802,980 24,659,086 33,023,800
December 2022

Debt Investment Securities at amortised cost Loan Commitments and financial guarantee contracts
31 December 2022
Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total
Balance at 1 January 1,272,206 29,690 - 1,301,896 694,376 6,292 - 700,668
2022
Transfer to Stage 1 (124,453) 123,820 633 - - - - -
(from 2 or 3)
Transfer to Stage 2 - - - - 3,792 (3,792) - -
(from 1 or 3)
Transfer to Stage 3 (7,297) (29,690) 1,141,736 1,104,749 - - - -
(from 1 or 2)
New financial assets 1,298,283 11,524 - 1,309,807 256,624 - - 256,624
originated or purchased
Derecognition of financial (251,403) - - (251,403) (210,415) (2,131) - (212,546)
assets
Reclassification of 2,155,991 - - 2,155,991
instruments measured at
FVOCI to amortised cost
Write-offs - - - - - - - -
Changes in models/risk (292,242) 2,735,261 2,383,548 4,826,567 (195,930) - - (195,930)
parameters
Foreign exchange and 477,468 - (86,320) 391,148 (25,881) (369) - (26,250)
other movements
Allowance at 31 4,528,553 2,870,605 3,439,597 10,838,755 522,566 - - 522,566
December 2022