Page 98 - Annual Report 2022

Banka Kombëtare Tregtare Annual Report 2022 36

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 allowance of loans to customers at amortised cost.
ALLOWANCE OF LOANS TO CUSTOMERS AT AMORTISED COST
Retail lending Corporate lending
31 December 2022
Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total
Balance at 1 5,481,002 323,819 4,102,128 9,906,949 21,925,152 17,482,866 17,875,396 57,283,414
January 2022

Transfer to Stage 129,533 (58,736) (103,125) (32,328) 4,027,229 (223,044) (4,469,881) (665,696)
1 (from 2 or 3)

Transfer to Stage 41,314 48,382 (89,698) (2) (635,574) 517,540 91,902 (26,132)
2 (from 1 or 3)
Transfer to Stage 89,130 (36,962) 1,146,927 1,199,095 (122,401) (22,942) 778,139 632,796
3 (from 1 or 2)

New financial 1,296,924 45,421 81,613 1,423,958 6,511,103 368,669 2,533,045 9,412,817
assets originated or
purchased
Derecognition of (526,759) (31,919) (435,001) (993,679) (3,164,503) (422,144) (1,676,632) (5,263,279)
financial assets

Changes due to (3,303,372) 501,718 92,356 (2,709,298) (10,013,942) (970,828) 60,930 (10,923,840)
modifications that
did not result in
derecognition
Write-offs (9) - (465,834) (465,843) - - (330,506) (330,506)
Foreign exchange (91,833) 72,079 (151,844) (171,598) (513,042) 414,631 (566,276) (664,687)
and other changes

Allowance at 31 3,115,930 863,802 4,177,522 8,157,254 18,014,022 17,144,748 14,296,117 49,454,887
December 2022